Posted on 09/15/2023 12:29:59 PM PDT by davikkm
The current situation in the US financial landscape is a cause for concern. It has been known that the top 5 US banks are over-leveraged, which can be a recipe for disaster. Over-leveraging can make these banks vulnerable to financial downturns and economic shocks.
This vulnerability is further highlighted by the fact that companies are closing and factories are going bankrupt. These developments are likely to have a cascading effect on the economy, potentially triggering a recession.
One of the key indicators pointing towards economic uncertainty is the real yield on 10-year Treasuries. The fact that they are approaching 2% again, a level not seen since 2009, suggests borrowing cost is getting out of hand.
Moreover, Bloomberg has noted that the bond market has never sounded recession alarms for such an extended period. This prolonged period of uncertainty in the bond market is a concerning signal of potential economic instability.
Additionally, BofA strategist Michael Hartnett’s observation about money-market funds seeing $1 trillion of inflows year-to-date is significant. It indicates that investors are flocking to safer, more liquid assets, indicating a lack of conviction in the current market conditions and possibly foreshadowing a bear market.
In summary, the over-leveraged state of top US banks, coupled with business closures and factory bankruptcies, rising Treasury yields, and the prolonged unease in the bond market, as well as the influx of funds into money-market accounts, all point to a potentially dire economic situation and heightened risk of a recession.
We’re in a recession now.
Sounds like 1929?......................
There goes everyone’s 401K’s again!
Oh noes!
Uh huh….
Some douche-nozzle called Wall Street Silver posts a crappy graphic on X of the notional value of derivatives vs assets of five banks, does some long division, and I’m supposed to go Biden in my pants?
It’s mind-boggling how alleged conservatives have transitioned into liberals circa 2003. What next…pro-occupy Wall Street posts?
Wake me when some actual intelligence is posted.
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If you haven’t read the book, “The Great Taking” by David Rogers Webb, I suggest you do. You can download a PDF online. The book is about the taking of all collateral, the end-game of this global synchronous debt accumulation super cycle. All money on deposit, all stocks and bonds, all private property financed with debt will be legally taken. Read the book to find out how. Don’t procrastinate, central banks have set a trap and will close it when they’re ready. Good luck to all.
Worse.
Looks to be an interesting read.
https://img1.wsimg.com/blobby/go/1ee786fb-3c78-4903-9701-d614892d09d6/taking-june21-web.pdf
It is not a difficult book to read. There is some legalese you can skim through and still understand the author’s thesis and evidence. I finished it in a few hours. Once I started, I couldn’t put it down. If you read it, I’d love to hear what you think. Thanks for posting the link. I bought the paper copy before I realized it was available online for free. I don’t regret my purchase.
This would make an excellent stand alone thread by itself. More people need to be aware of this.
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