SVB Bank Run: Fed Calling Emergency Meeting

[Anonymous]

Anonymous wrote:Must be worse than many think for a Sunday announcement.

Or they know the rumor mill will run rampant with no news over the weekend

[Anonymous]

[Anonymous]

Anonymous wrote:

Anonymous wrote:Must be worse than many think for a Sunday announcement.

Or they know the rumor mill will run rampant with no news over the weekend

What timezone is the Whitehouse in? There's been no news for most of the weekend already. The time to get ahead of this was Saturday.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Must be worse than many think for a Sunday announcement.

Or they know the rumor mill will run rampant with no news over the weekend

What timezone is the Whitehouse in? There's been no news for most of the weekend already. The time to get ahead of this was Saturday.

Monday morning is still many hours away. Sunday afternoon isn't late.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:How does one mismanaged bank cause confidence in the entire banking system to collapse?

Because it's the psychology of being a small business owner seeing the headlines that you could instantly lose all money for your business over $250k in bank. You could wake up the next day and have $0 to pay your employees, buy supplies, and pay your rent. It only takes one domino to fall to start the panic. Then another bank fails, and then another. Soon we have a full on nation wide bank run that sends us back to 40% unemployment like the Great Depression. Does fear and greed ever make rational sense? It doesn't have to, but it can happen when people start to panic.

Did the small business owners think that FDIC insurance was just pretend?

Why should these people get a bail out over any other group of people who have last money for some other reason.

It's amazing to me that some of the most vocal people i have seen out there loudly demanding handouts are people who I have also seen being completely hostile towards other forms of government assistance. I guess it's different when the money goes to them.

Are you stupid? What if you have $10M to run a small business? Where are you going to put the cash? Under your mattress? Into 40 bank accounts? What if you have $20M to run your small company? 80 bank accounts?

The people being harmed are depositors, nitwit. They're not some kind of scheming wall street banker. They are businesses that have to pay employees their salaries, health care
, etc.

If you want to collapse the economy and send unemployment up to 40%, this is a great way to do it.

Then why didn't they obtain insurance for deposits over $250k?

People who were fully aware that the FDIC limit was $250k shouldn't suddenly be acting surprised that the payout will be $250k.

Right, because your average small business owner running a landscaping business has the financial knowledge to understand the systemic risks of rising interest rates on banks' holdings of bonds that could make them collapse. You seriously overestimate how much thinking business owners use when they use banking. People out their money into a bank and expect it to be there and for the system to be stable. They don't give a single crap about the gritty details of banking regulations, reserve requirements, etc. Once common people see banks starting to fail, they're going to panic and pull their money out.

That's odd. I remember when COVID started, small businesses said that practically no reserve capital. That's why they needed bailouts. Now, they have over $250k?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:How does one mismanaged bank cause confidence in the entire banking system to collapse?

Because it's the psychology of being a small business owner seeing the headlines that you could instantly lose all money for your business over $250k in bank. You could wake up the next day and have $0 to pay your employees, buy supplies, and pay your rent. It only takes one domino to fall to start the panic. Then another bank fails, and then another. Soon we have a full on nation wide bank run that sends us back to 40% unemployment like the Great Depression. Does fear and greed ever make rational sense? It doesn't have to, but it can happen when people start to panic.

Did the small business owners think that FDIC insurance was just pretend?

Why should these people get a bail out over any other group of people who have last money for some other reason.

It's amazing to me that some of the most vocal people i have seen out there loudly demanding handouts are people who I have also seen being completely hostile towards other forms of government assistance. I guess it's different when the money goes to them.

Are you stupid? What if you have $10M to run a small business? Where are you going to put the cash? Under your mattress? Into 40 bank accounts? What if you have $20M to run your small company? 80 bank accounts?

The people being harmed are depositors, nitwit. They're not some kind of scheming wall street banker. They are businesses that have to pay employees their salaries, health care
, etc.

If you want to collapse the economy and send unemployment up to 40%, this is a great way to do it.

Then why didn't they obtain insurance for deposits over $250k?

People who were fully aware that the FDIC limit was $250k shouldn't suddenly be acting surprised that the payout will be $250k.

Right, because your average small business owner running a landscaping business has the financial knowledge to understand the systemic risks of rising interest rates on banks' holdings of bonds that could make them collapse. You seriously overestimate how much thinking business owners use when they use banking. People out their money into a bank and expect it to be there and for the system to be stable. They don't give a single crap about the gritty details of banking regulations, reserve requirements, etc. Once common people see banks starting to fail, they're going to panic and pull their money out.

That's odd. I remember when COVID started, small businesses said that practically no reserve capital. That's why they needed bailouts. Now, they have over $250k?

You need millions of dollars to run a brand new biotech, for example. Lab equipment and scientists are expensive. Hell, my uncle ran a landscaping business I used to work for in the summer. He had $4M in his bank account, because you had to pay employees and needed lots of money for maintenance of all of the equipment like large trucks, mowers, and for buying tons of sod.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Must be worse than many think for a Sunday announcement.

Or they know the rumor mill will run rampant with no news over the weekend

What timezone is the Whitehouse in? There's been no news for most of the weekend already. The time to get ahead of this was Saturday.

Monday morning is still many hours away. Sunday afternoon isn't late.

It's a global economy. Contagion. They don't want that.

And if youthink you're gonna run to the bank a withdraw millions, they'll institute capital controls. Yes, they can do dat.

[Anonymous]

The United States is being attacked from within

Peter Theil did this on his quest for Q/Facism.

He & his cohorts are going to destroy us.

Keep voting Republican people it will not end well. More of this is coming and it will be bad.

[Anonymous]

Mark Cuban had 8 million in SVB and wants to be made whole. By the tax payers. Uh huh.

[Anonymous]

Anonymous wrote:The United States is being attacked from within

Peter Theil did this on his quest for Q/Facism.

He & his cohorts are going to destroy us.

Keep voting Republican people it will not end well. More of this is coming and it will be bad.

More like the White House is attacking the U.S.

Cloward Piven

[Anonymous]

Anonymous wrote:The United States is being attacked from within

Peter Theil did this on his quest for Q/Facism.

He & his cohorts are going to destroy us.

Keep voting Republican people it will not end well. More of this is coming and it will be bad.

+1

[Anonymous]

Anonymous wrote:Must be worse than many think for a Sunday announcement.

It is bad very bad.

Thank Peter Theil, Navarro, Bannon, Musk, and their merry band of Russian trolls.

Good for Republcians they are winning. Garland is feckless they will win in 2024 and the US will be on a path that all MAGA HAT morons will be forclosed on ..

But hey keep supporting the Christian Fascists they love keep you uneducated. Hello red states.

[Anonymous]

Anonymous wrote:Mark Cuban had 8 million in SVB and wants to be made whole. By the tax payers. Uh huh.

He should talk to Peter Thiel.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Yellen has said no bailouts. Tomorrow should be fun.

A bailout is different than making sure depositors are made whole. They're arranging for another bank to take it over - final bids to the FDIC are due this afternoon.

https://www.bloomberg.com/news/articles/2023-03-12/fdic-auction-for-svb-said-to-be-underway-final-bids-due-sunday

Can't read - paywall. Are they selling the assets to pay the depositors? Or are they selling the bank, including its risk, and potentially creating another bank at risk of a run/collapse? And what dumb bank would buy that?

This story is not behind a paywall. I get Bloomberg putting stories of interest pretty much solely to the financial world behind a paywall but wonder it it is really necessary to their business model to put breaking news of national interest behind a paywall.

https://cointelegraph.com/news/fdic-bidding-for-silicon-valley-bank-is-in-progress-report

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Must be worse than many think for a Sunday announcement.

Or they know the rumor mill will run rampant with no news over the weekend

What timezone is the Whitehouse in? There's been no news for most of the weekend already. The time to get ahead of this was Saturday.

Monday morning is still many hours away. Sunday afternoon isn't late.

It's a global economy. Contagion. They don't want that.

And if youthink you're gonna run to the bank a withdraw millions, they'll institute capital controls. Yes, they can do dat.

One hopes it comes before the Tokyo markets open at 8 tonight.