Posted on 03/15/2023 8:59:57 PM PDT by SeekAndFind
🤣🤣 yep got screwed on their own failed risk management.
Yes, exactly right.
If someone chooses to deposit their money in an unconventional bank because they offer better interest rates and VIP treatment:
It should not be my problem when that unconventional bank goes under. Not one of the uninsured SVB or Signature Bank depositors were naive, they thought themselves better or smarter than the rest of the rubes.
Turns out they may have been right given how fast they were bailed out.
Wonder who will be next in the got screwed in securities game
Wasn’t Elon Musk also a founding member?
Bookmark
There is only the question of when will a
America wake up and realize that the dollar is not worth the paper it is printed on?
That and the fact that all of the conspiracy theories you have heard are probably true.
Bfl
“ No matter how distasteful you may find those things to be, preventing a greater economic calamity was necessary.”
The ever recurring theme.
“... preventing a greater economic calamity was necessary ...
The ever recurring theme.”
Applies to both ends. It was first the reason for throwing money at the Covid situation. Now it’s the reason for raising interest rates.
When the rates started creeping up, some institutions thought they could lock in the higher rates by buying the long term bonds. It assumed rates would go down or wouldn’t go higher.
Depositors, looking to get out of their .01% CD accounts have been steered by the banks to 3 plus year CDs paying three and four percent, telling them they can “lock in the rates”. Meanwhile money market funds are paying 4 plus percent and are perfectly liquid.
Banks are trying to lay off the mid term risk to their customers by trying to get them to lock in their cash with CDs.
Depositors and not responsible for SVB’s failure, but they are responsible for protecting their cash assets of over $250k. There are multiple methods of protecting and insuring those assets. It smells to me that there is a case of cutting corners to avoid costs (actually very low costs) to effectively manage their money. Read that as greed, or in nicer terms, squeezing out every last penny of profit. It may be sheer incompetence and a lack of focus.
Let bad banks fail. https://fee.org/articles/why-we-should-let-bad-banks-fail/
Not that I can find anywhere. He says he has considered buying it this past few days though.
Musk is a co-founder of PayPal. According to Business Insider, Musk founded the searchable business directory Zip2 with his brother when Musk was 24. The brothers sold Zip2 for $307 million four years later. Musk used his $22 million profit from the sale to help start the online bank X.com.
Max Levchin and Peter Thiel had created the startup Confinity, which developed an online payment system called PayPal, according to Fast Company. In March 2000, Confinity merged with Musk’s X.com and the execs later renamed the company PayPal.
In fairness, Trump was totally on-board with all the pandemic spending authorizations in 2020. I would vote for Trump over almost anyone else (Republican, Democrat, or Independent).
But all the 2020 pandemic spending was a huge gamble.
Two weeks to flatten the curve was the BIG LIE.
Ok, let’s accept that Trump had to spend because of the pandemic.
What is the excuse to CONTINUE that amount of spending AFTER the Pandemic?
Ok, let’s accept that Trump had to spend because of the pandemic.
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That is one nutty stipulation you are making (or requesting).
I don’t know what the excuse was to continue the spending.
But there always seems to be an excuse.
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AND ... I reject your excuse that we need to accept that the pandemic spending was “necessary”.
BTW - when all the Covid bailouts were being made I predicted to numerous people that we would be re-paying all the largesse (which most people received to some degree) back at a rate of maybe 9 to 1.
Maybe it will be 14 to 1?
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