The FDIC dodged the bullet!
By Gene W. Edwards.
Posted on 3/13/2023.
If Biden, together with his secretary of the treasury named Janet Yellen, and the Federal Deposit Insurance Corporation (FDIC), hadn’t “cured” the failure of two large banks in the USA in March, and the voluntary failure of a third, we’d all be up S_ _ _ ‘s Creek this morning! The DOW would have lost 1,000 points today — Monday 3/13/2023 — the NASDAQ a bunch, and there would have been a run on the banks nationwide until . . . ?!
Instead, two of the three banks went into receivership, to be run, and soon sold, by the FDIC, all deposited funds soon refunded in all amounts. The third, Silvergate Bank, “released a public notice on March 8, 2023, that it would undergo voluntary liquidation and would return all deposited funds to their respective owners.[3][5][28]” [From Wikipedia’s file titled “2023 United States bank failures.”] The FDIC dodged the bullett. All executive staff and investors/owners in the three failed banks will lose everything: their jobs and 100% of their investment!
I predict, via intuition, 12 more bank failures soon, or last-minute rescues, he result of bad management and today’s high interest rate. Two of the three banks “today” failed from dealing with cryptocurrency deposits, and losses, from the failed FTX and FTT Sam Bankman-Fried scam, and other cryptocurrency’s sharp devaluations from all the cryptos losing steam, thus diminishing depositors’ net worth and bank accounts.
Our nation has 4,844 federally insured banks. Many, many, banks closed in 2008–2012, 465 banks taken over by the FDIC. Today’s is not the same as that banking crisis, but still concerning. The banks that closed today had some 8,500 employees and many billions, in all, on deposit, then withdrawn or lost. Everyone was wondering, “What about my bank? Will I lose everything but $250,000 per account?”
Now banks will have to pay more to the FDIC for their federal deposit “insurance” protection.
Yeah, we dodged the bullet. Our country owes over $31,400,000,000,000 as of January, which is our national debt that still hasn’t been congressionally increased despite hundreds of billions of dollars in overruns since then. Our national budget and inflation are out of control because we ship trillions of dollars overseas to pay for imported products, we spent trillions of dollars on infrastructure and COVID-19 stimulus relief, and we fall behind every year by at least a trillion dollars in overruns of our fiscal year budgets. Worst of all, we have $647,000,000,000,000 out in currency and credit “derivatives” (gambles). Our banks and financial markets are insufficiently regulated — of all which adds up to a house of cards.
You’ve heard of the domino theory right, that if one domino falls, and they’re all lined up, they all fall? Well . . .
Love,
Gene W. Edwards.
Gene: the world’s best commenter on present trends and intuitive predictor of future events.
Posted by Gene W. Edwards on 3/13/2023 on Facebook under Gene W. Edwards and on my website, genewedwards.medium.com. Medium.com is a giant blog-hosting website.