Bank failures have started

[iamwhatiseem]

hmm, might be a time for some bargain shopping

Oh hell no... not yet. No where near bottom yet.

 

[Harpy Eagle]

Oh hell no... not yet. No where near bottom yet.

I am not sure SCHW will go that much lower. There is no good reason behind the sell off, it is just panic selling. But to buy enough of it to make a difference I would have to cash out a CD early and it is not worth that.

 

[iamwhatiseem]

I am not sure SCHW will go that much lower. There is no good reason behind the sell off, it is just panic selling. But to buy enough of it to make a difference I would have to cash out a CD early and it is not worth that.

I don't day trade stocks of that size. I have about $4000 I play with, but haven't done any investing for over a year. Everything is to upside down, and today you have to watch hour by hour.
Small invetsment day trading may very well be a thing of the past. I started with $1500 in 2018.
So more than doubled my money, but by 2022 you had to invest way more time than it is worth.

 

[Harpy Eagle]

I don't day trade stocks of that size. I have about $4000 I play with, but haven't done any investing for over a year. Everything is to upside down, and today you have to watch hour by hour.
Small invetsment day trading may very well be a thing of the past. I started with $1500 in 2018.
So more than doubled my money, but by 2022 you had to invest way more time than it is worth.

I do not either. Just have to spend too much to get enough shares to make it worthwhile. I do not really day trade, just look for bargains I can hold for a few months and then maybe sell off.

Lately have not done much selling or buying lately.

In Aug I bought ALBO at 18.90 and sold it in Jan for 43.90.

Most of my mad money for this tied to a stock I almost sold at 30 I bought for 16, but now it is back under 20 so will be holding it

 

[amethyst]

halturnerradioshow.com/index.php/en/news-page/world/flash-inter-bank-liquidity-almost-completely-frozen-they-won-t-lend-to

It wont let me link, so let me quote:

"What this means is that banks are NOT lending to each other; not even for overnight, or over a weekend!

When Bankers stop lending to EACH OTHER, there are gigantic trust issues. The Banking system seems to be coming apart in real time, today."

 

[Nobody911]

"Well folks, do you play a classic game of dominos! But instead of lining up those little tiles to watch them fall perfectly in sequence, let's take a look at the real-world domino effect that can happen when one bank goes belly up.

It's not all fun when we see financial institutions failing left and right, causing a chain reaction that can lead to an economic disaster. Bank failures can trigger the collapse of other banks, creating a vicious cycle that spreads like wildfire throughout the entire financial system. It's not just customers who suffer – businesses lose access to credit, jobs are lost, investment markets go into turmoil – it's enough to make anyone want to grab a drink from their piggy bank.

So next time you consider skipping out on paying off your loans or blowing your cash on frivolous items, remember: your actions might just be the missing link in starting a dangerous game of financial dominos! Lol

 

[amethyst]

We all knew both banks would be bailed. After all, those depositors are solid donors and harry and megan couldn't afford to lose their millions in svb.

Whether the fed reacts by raising or lowering rates to alleviate the situation, we are screwed.

 

[Likkmee]

Yeah..and betcha a dollar they'll vote for Trump too!

STUPID !!!!

M-pyre. Call yer daddy and tell'em clean dat suit.
This aint 2008( I left in 2005). This time is final.
Always remember.
It was RUSSIA ! You've been chanting that since 1961 right ?
Good boi ! Wave that flag too !

 

[Ringo]

hmm, might be a time for some bargain shopping

I hope you made good money supplying weapons to Ukraine.

 

[Harpy Eagle]

I hope you made good money supplying weapons to Ukraine.

Sure, whatever helps you sleep at night

 

[amethyst]

It's crystal clear now: More banks are going to fail

Commentators are warning of another banking crisis on the horizon, as bank stocks buckle under fears of contagion from SVB's failure.

markets.businessinsider.com

• It is likely that more bank failures are coming after the collapse of Silicon Valley Bank.
• Commentators, politicians, and the markets are all warning of more pain in store.

 

[Rambunctious]

SVB collapse only 'the tip of the iceberg' under Biden spending policies, economist warns

FreedomWorks chief economist Steve Moore said high inflation and interest rates caused financial problems for banks like SVB.

www.foxnews.com

 

[Ringo]

 

[iamwhatiseem]

 

[amethyst]

this is a briefing on short and long term ramifications of the banking failures.

Reader Survey

d2z65klgtz99km.cloudfront.net

 

[Dirk the Daring]

Jim Cramer was touting Signature Bank as the place to make money. It was seized by regulators today and look at who was on the board. Dodd Frank anyone?

View attachment 765201

I did some studying up on Signature Bank today and I found this Politico article quite enlightening;

Barney Frank blames crypto panic for his bank's collapse. Elizabeth Warren blames Trump.

The rift between Frank and Warren is just a preview of what's to come as Democrats sort out positions on how to respond to the latest banking crisis.

www.politico.com

Frank, who chaired the House Financial Services Committee in the wake of the global financial crisis and wrote sweeping new rules enacted in 2010, most recently served on the board of New York’s Signature Bank, which regulators shut down Sunday.
From his front-row seat, he blames Signature’s failure on a panic that began with last year’s cryptocurrency collapse — his bank was one of few that served the industry — compounded by a run triggered by the failure of tech-focused Silicon Valley Bank late last week. Frank disputes that a bipartisan regulatory rollback signed into law by former President Donald Trump in 2018 had anything to do with it, even if it was driven by a desire to ease regulation of mid-size and regional banks like his own.


“I don’t think that had any impact,” Frank said in an interview. “They hadn’t stopped examining banks.”

The 2018 law that eased banking regulations advanced with a degree of encouragement from Frank, who was on Signature’s board at the time. He was a proponent of raising a $50 billion asset threshold in his 2010 law that triggered stricter oversight.

Congress ended up changing the framework so that banks would be eligible for greater regulatory scrutiny once they reached $100 billion in assets and then automatically face the toughest regulation at $250 billion.

Signature was poised to be a major beneficiary of the change, with assets of about $44 billion in 2018. It had $110 billion in assets as of this weekend.

Frank said Sunday that he didn’t think changing the threshold to $250 billion from $50 billion “had any impact.”

 

[Ringo]

The Federal Reserve announced an emergency lending bailout to support U.S. banks.
What a surprise, choosing between U.S. citizens, now facing hyperinflation, and the banks, the Fed chose the latter. Who would have thought?

 

[citygator]

Rich people are saved! Yea

 

[multivita-man]

The Federal Reserve announced an emergency lending bailout to support U.S. banks.
What a surprise, choosing between U.S. citizens, now facing hyperinflation, and the banks, the Fed chose the latter. Who would have thought?

We're approaching a debt trap.

In the short run, yeah, the bailout prevents a lot of other shit we aren't ready to deal with - like massive unemployment.

But long term, this (like withdrawing from the SPR) will have an inflationary impact. People are going to begin to question the credibility/stability of US bonds, and that will dent the value of our currency. Liz Truss is the shortest PM in UK history for similar reasons -- she doubled down on tax cuts and QE at a time when UK bond holders weren't havin it.

Not unreasonable to think that this type of QE - if it expands - could lead to something similar here. Maybe not a resignation but basically end up tanking Biden's re-election bid before it gets started.

I don't blame Biden per se but life ain't fair and truth to tell, his regulators should have been on top of this shit. They also should have reassured deposit holders of SVB their money would be safe the moment someone whispered this concern. They waited a week and let a rumor mill percolate over the whole weekend. There was contagion brewing already.

 

[multivita-man]

Rich people are saved! Yea

The alternative is a lot of other people get thrown out of work just in time to fuck up their retirement.