"Trump's fault!"
Posted on 03/10/2023 10:21:03 AM PST by ConservativeInPA
Regulators closed troubled Silicon Valley Bank after deposit outflows and a failed capital raise plunged the country's 16th largest bank into crisis, roiling the larger lending industry.
It became the largest bank to fail since Seattle's Washington Mutual during the height of the 2008 financial crisis, and the first since 2020. Treasury Secretary Janet Yellen acknowledged the industry turmoil Friday, saying there are "a few" banks the department is closely watching.
"There are recent developments that concern a few banks that I'm monitoring very carefully and when banks experience financial loss it is and should be a matter of concern," Yellen told lawmakers Friday.
(Excerpt) Read more at finance.yahoo.com ...
Is this a harbinger of more problems? Not mentioned in the article is the high level of consumer debt, particularly subprime debt. Auto repos are up and increasing. Just wait until unemployment kicks in.
The next step in the Communist take over. Confiscation of banks by the state. And they have to get it done before 2024.
Article says “there are “a few” banks the department is closely watching”.....
Which means they’re likely on the edge....wonder which ones?.
Why didn’t the California billionaire Venture Capitalists and “High” Tech Oligarchs bail this bank out?
Because they are waiting for the government to use taxpayer $$ to do so.
“Is this a harbinger of more problems?”
How can it not be? And, Silicon Valley? Are those folks no longer rolling in dough?
Plus, Yellin basically says that other banks are in difficulty.
What did anyone think would happen? The completely corrupt Dem party (see tagline) finagled to install a demented old moron, a man evidently of great corruption himself, in the WH.
They did it to preserve their vast graft network and to protect their utter devotion to abortion among other not good, very bad things.
Now it seems like we are really going off the rails, literally and figuratively!
Rumors earlier re:Wells Fargo and BofA. But may be related to posting issues rather than SVB.
A few years ago I noticed there were tons of “new” banks on every corner. Sometimes so close together to ring my alarm bells.
There cannot possibly be enough real worth to support this. I personally have a small amount in Chime. They state, they are not a bank. I wonder how many of these brick n mortar banks are just like Chime.
I have been happy with Chime for its specific purpose.
The FDIC is about the only federal agency I trust.
RE:.....wonder which ones?.
Watch for guys selling luxury cars on the front lawn for cash and houses as “must sell—as is.”
Banks invest in stuff...
Show me the top 5 investments..
I bet 3 of them are woke crap..
I worked for FDIC for many years. I always thought it was a very well run agency as opposed to many others. FDIC is funded by insurance premiums charged to insured banks. It is not taxpayer funded (unless that changed in the last 10 years.) I helped in the closing of many small banks and a few larger ones. They are very good at what they do.
Good tip!
Thanks...
I agree with you.
They weren’t the primary regulator for this bank.
If they had been, the situation would have been different. They are only allowed to be the regulator of banks below $10 billion in assets.
The FDIC protects depositors up to a limit of $250,000/per account. Typically, when a bank fails, another bank swoops in and takes over the branches, assets and liabilities. The FDIC usually pays very little. The regulators close banks when they have insufficient reserves. There are probably enough assets to cover all their deposits and liabilities.
Cripto banks are the “canary in the mine”.
Things could get pretty rough very soon....and FJB
Banks loosing their ass on woke ESG BS...no return on capital.
Cramer knew this bank was failing but some money probably was slipped to him made him promote the bank.... He is always doing this. Do the opposite of what he says and I suspect you would make a fortune.
Inverse Cramer (Not Jim Cramer)
@CramerTracker
Jim Cramer said Silicon Valley Bank was a buy last month at $320
Today it is being closed by California regulators
https://twitter.com/CramerTracker/status/1634237672997699602
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