Great analysis, and not to hijack or belittle the thread, but I would like to add that the root of all of our financial troubles is a fractional-reserve banking system / combined with a fiat currency.
This proposed “bailout” is going to skyrocket inflation, the goverment’s secret little tax. The lack of liquidity in the market is just beginning to rear it’s ugly head, so make the appropriate adjustments to a portion of your investments to diversify for such changes.
I watched a lady at the bank today trying to withdraw $33,000 cash. Big bank, main branch, brags about it’s “assets”, beautiful building, huge, open vault right there, only one other customer - they did not have the cash on hand. I could tell her brain could not process why she could not get her cash. I wanted to step in and maybe give her a little clue, but decided against it. Obviously her first run-in with how small the “fraction” really is...
I agree. The only way a banking system should work is that the bank should keep all the deposits in the vault. 100%! Then, if you wanted to withdraw your money, it would be right there.