Posted on 04/25/2023 11:22:22 AM PDT by CFW
Shares of First Republic fell sharply and hit a record low Tuesday, as investors questioned how the bank would stabilize itself after losing about 40% of its deposits during the first quarter.
First Republic’s stock fell more than 40% on Tuesday, extending its year-to-date losses beyond 90%. It hit a record intraday low at $8.27 per share.
(Excerpt) Read more at cnbc.com ...
A BANK RUN == TAKING OUT THE DEPOSITS
Simple.
From a customer signing a promissory note.
That creates a claim on future labor.
Debt-based money is nothing but claims on future labor.
politicket is exactly correct.
Effectively, the "$$$$$$$" as you put it, the fiat, is simply created with some fancy-dancy juggling of account ledgers.
How do you think the M2 money supply increases?
Our Credit Union is paying ~4 on a one year, but we’re getting >5 at our brokerage thru various banks across the country.
If you knew a bit more about accounting and banking your advice would be worth zero. Loans are assets on a banks financial statement because they generate income. When there is a run on the bank and deposits leave they become insolvant because they cannot pay the later to leave unless they can borrow or raise equity. Stick to your day job.
Wow, good deal. How does that work at the brokerage? We have 6 CD's outstanding, highest is 4.89 at our credit union. And new rates are starting to go down (thought they would go over 5 but no). Our investments with our broker are in stocks and money market with mixed results but doing okay despite carnage in the stock market over the last year.
At TDAmeritrade you can select “Research & Ideas” then Under Bonds and CDs heading select “CD Center”. It gives you a list of maturities from 3 months to 5+years. So, for example Select “View 1-year CDs” and it gives you a list of CDs to choose from in a table (example below):
Maturity APY* Coupon Description Quantity
5/07/2024 5.15% 5.15 JPMORGAN CHASE BANK (OH) 4291
5/03/2024 5.1% 5.1 SAFRA NATIONAL BANK (NY) 2355
5/02/2024 5.221% 5.1 GOLDMAN SACHS BANK USA (NY) 5650
You select “Buy Now” and tell them the quantity in multiples of 1000 (so if you enter 10, then the cost is $10,000). You review your order and $10,000 is taken from your cash account to buy the CD’s.
Hope this helps.
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