Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Fasten your money belt — it's going to be an extremely bumpy few years: We just witnessed the second largest failure in U.S. banking history. What's next?
American Thinker ^ | 03/11/2023 | Ethel C. Fenig

Posted on 03/11/2023 9:45:22 AM PST by SeekAndFind

Yesterday, along with many, many others, I mentioned a major  financial concern

The problems of two small banks on the West Coast are rippling across markets and causing new investor concerns about some of the country’s largest financial institutions.

Why? Three words: rising interest rates [italics added].

The Federal Reserve’s aggressive campaign to bring down inflation helped set the stage for major problems at two California lending institutions — SVB Financial (SIVB) and Silvergate Capital (SI) — as an outflow of deposits forced both to sell assets at a loss. Those assets were bonds.

BOOM!  BOOM!  POW!  Friday it happened: Silicon Valley Bank (SVB), the U.S.'s 16th largest according to the Federal Reserve, collapsed — the second largest failure in U.S. banking history.  

Silicon Valley is not a real geographical valley, but the area in northern California that is home to many high-tech, low-tech, middle-tech companies ranging from start-ups to established companies, many financed by SVB.

And many companies parked their money in SVB for such business basics as making payroll. And then they couldn't because the bank had their money. Warned, many of the companies had attempted to withdraw their funds. Some succeeded; others didn't.

Because of its narrow niche — financing technology companies — SVB's problems are unique. Other financial institutions are not quite as vulnerable. Hopefully.

As I advised yesterday, stay tuned.


(Excerpt) Read more at americanthinker.com ...


TOPICS: Business/Economy; Culture/Society; Government; News/Current Events
KEYWORDS: bankcollapse; economy; hh2; invest; investment; stockmarket; svb
Navigation: use the links below to view more comments.
first 1-2021 next last

1 posted on 03/11/2023 9:45:22 AM PST by SeekAndFind
[ Post Reply | Private Reply | View Replies]

To: SeekAndFind

2 posted on 03/11/2023 9:48:58 AM PST by C210N (Everything will be okay in the end. If it’s not okay, it’s not the end.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

I will just be happy if the Duchess of Suck-It lost all or Harry’s money in SVB as is being reported.


3 posted on 03/11/2023 9:58:31 AM PST by KC Burke (Once the architecture for suppression of liberty is in place it is only a matter of time before gove)
[ Post Reply | Private Reply | To 1 | View Replies]

To: C210N
Wow, that is a staggering chart. And below is how investors reacted. The Fed and Congressional malfeasance is paying us huge dividends. I see the potential for this to rapidly snowball out of control.


4 posted on 03/11/2023 10:03:03 AM PST by ProtectOurFreedom (There is lots of money and power in Green Communism and we all know where Communism ends.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: KC Burke

What? Wow!


5 posted on 03/11/2023 10:07:02 AM PST by Reddy (BO stinks)
[ Post Reply | Private Reply | To 3 | View Replies]

To: SeekAndFind

The upside though is that those getting jobbed are mostly democrats.


6 posted on 03/11/2023 10:10:14 AM PST by Bonemaker (invictus maneo)
[ Post Reply | Private Reply | To 1 | View Replies]

To: C210N

Yes that’s a pretty graph. It’s always nice when people decorate threads with graphs and people who see it can play the game of “What does this graph signify?” It would be nice if you would explain a little about why you think this graph should fill my screen as I scroll through the comments.


7 posted on 03/11/2023 10:15:59 AM PST by webheart
[ Post Reply | Private Reply | To 2 | View Replies]

To: webheart

“What does this graph signify?”

Share price change percentage.


8 posted on 03/11/2023 10:31:57 AM PST by fretzer
[ Post Reply | Private Reply | To 7 | View Replies]

To: fretzer

Second chart.


9 posted on 03/11/2023 10:32:48 AM PST by fretzer
[ Post Reply | Private Reply | To 8 | View Replies]

To: webheart

> Yes that’s a pretty graph.

Nothing to worry about. Just flip it upside down.


10 posted on 03/11/2023 10:46:50 AM PST by glorgau
[ Post Reply | Private Reply | To 7 | View Replies]

To: SeekAndFind

I miss the Golden Years of the Carter administration.


11 posted on 03/11/2023 10:47:57 AM PST by TwelveOfTwenty (Will whoever keeps asking if this country can get any more insane please stop?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

A bank in one local area with only very limited public market profile. It is known for high risk investmrnt deals.
Maybe such entities should not be entrusted with public depositors funds.
Let’s go back to the former jaws and have a great walk
If separation (as it was called) veteran investment firms and regular banking that takes normal public savings and checking accounts.

Why should the public be placed at this unnecessary risk! Why should we the taxpayers be placed at risk ?


12 posted on 03/11/2023 10:52:46 AM PST by faithhopecharity (“Politicians are not born. They're excreted.” Marcus Tillius Cicero (106 to 43 BCE))
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

Charles Schwab lost 25% of its value yesterday.


13 posted on 03/11/2023 11:01:16 AM PST by Georgia Girl 2 (The only purpose of a pistol is to fight your way back to the rifle you should never have dropped)
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

How much TANGIBLE value was lost?
Most Billionaire are “Paper” billionaires.
Bill Gates is the only rich, famous guy, that buys land
albeit so he can take out of productive uses.
Stock price is very subjective.
Land can objectively produce wealth.


14 posted on 03/11/2023 11:17:04 AM PST by rellic
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

Dems may bring down the Country.....


15 posted on 03/11/2023 11:27:57 AM PST by chopperk ( )
[ Post Reply | Private Reply | To 1 | View Replies]

To: SeekAndFind

I saw some posts about Harry & Megan lost millions and Oprah lost $590 million. Do not have any other details.


16 posted on 03/11/2023 11:43:35 AM PST by minnesota_bound (Need more money to buy everything now)
[ Post Reply | Private Reply | To 1 | View Replies]

To: KC Burke

Go Woke Go Broke!


17 posted on 03/11/2023 12:00:30 PM PST by parmamenian (and so it goes!)
[ Post Reply | Private Reply | To 3 | View Replies]

To: SeekAndFind
the second largest failure in U.S. banking history.
A bank that most people, me included, never heard of.
18 posted on 03/11/2023 12:53:01 PM PST by lewislynn ( Trump accomplished more for America in one 4yr term than any President in your lifetime)
[ Post Reply | Private Reply | To 1 | View Replies]

To: webheart
What does it mean..??

https://www.youtube.com/watch?v=IJHLf2Weu1k
19 posted on 03/11/2023 1:00:48 PM PST by Kenny Bania (Ovaltine? Why not call it Roundtine?)
[ Post Reply | Private Reply | To 7 | View Replies]

To: SeekAndFind

bkmk


20 posted on 03/11/2023 2:38:46 PM PST by sauropod (“If they don’t believe our lies, well, that’s just conspiracy theorist stuff, there.”)
[ Post Reply | Private Reply | To 1 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson