Let me get this straight. The Bidenomics policies flood the markets with cash in a supply-contrained economy with nascent inflation. Inflation takes off, with the logical response being increasing interest rates. Despite supply issues not being resolved, they flood even more money into the economy, worsening inflation yet again. The rising rates - indeed even a record-duration inverted yield curve - cause the value of long-term bonds to decline precipitously. This, of course, breaks the bank model of income spread - profiting from the normal spread between short term rates paid on deposits and long-term rates earned on those deposits. Of course they have liquidity problems as a result!
But according to this Time piece, this is all the fault of the banks. Sounds like rubbish to me. More likely a story planted by this incompetent administration to shift the blame.
☑️☝️⬆️
☝️☑️
Deflection. Well said.
cause the value of long-term bonds to decline precipitously.
cause the premature sale value of long-term bonds to decline precipitously.