Bank Run Watch 2023 after Silicon Valley Bank shutdown - Over 97% of SVB's assets were not FDIC insured

all before jpowell speaks in the next hour
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mindlessobserver said:
I love how the go to solution is to just put all the eggs in one basket. Why spread all the risk around when you can put ALL the risk in a single point of failure? What could POSSIBLY go wrong with this idea?!
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Right lol like we've never ever had big-name data breaches, right?

That kind of hacking would be WAY beyond what my lone-wolf ass can do, but for a Russian or Chinese or Iranian team a single POF for the entire financial system is the Holy Grail of prizes.

Because you don't have to steal all the gold in the vault...just break enough shit that for a week or two nobody can make any transactions. The fallout from that will reverberate for decades, assuming it doesn't straight up run our house of cards into the ground.
 
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it will increase until inflation is curved
Federal Reserve Chair Jerome Powell said Friday that stresses in the banking sector could mean that interest rates won’t have to be as high to control inflation.

Speaking at a monetary conference in Washington, D.C., the central bank leader noted that Fed initiatives used to deal with problems at mid-sized banks have mostly halted worst-case scenarios from transpiring.

But he noted that the problems at Silicon Valley Bank and others could still reverberate through the economy.

“The financial stability tools helped to calm conditions in the banking sector. Developments there, on the other hand, are contributing to tighter credit conditions and are likely to weigh on economic growth, hiring and inflation,” he said as part of a panel on monetary policy.

“So as a result, our policy rate may not need to rise as much as it would have otherwise to achieve our goals,” he added. “Of course, the extent of that is highly uncertain.”

Powell spoke with markets mostly expecting the Fed at its June meeting to take a break from the series of rate hikes it began in March 2022. However, pricing has been volatile as Fed officials weigh the impact that policy has had and will have on inflation that in the summer of last year was running at a 41-year high.

On balance, Powell said inflation is still too high.

“Many people are currently experiencing high inflation, for the first time in their lives. It’s not a headline to say that they really don’t like it,” he said during a forum that also featured former Fed Chairman Ben Bernanke.

“We think that failure to get inflation down would, would not only prolong the pain but also increase ultimately the social costs of getting back to price stability, causing even greater harm to families and businesses, and we aim to avoid that by remaining steadfast in pursuit of our goals,” he added.

Powell characterized current Fed policy as “restrictive” and said future decisions would be data-dependent as opposed to being a pre-set course. The Federal Open Market Committee has raised its benchmark borrowing rate to a target of 5%-5.25% from near-zero where it had sat since the early days of the Covid pandemic.

Officials have stressed that rate hikes operate with a lag of a year or more, so the policy moves have not completely circulated through the economy.

“We haven’t made any decisions about the extent to which additional policy funding will be appropriate. But given how far we’ve come, as I noted, we can afford to look at the data and the evolving outlook,” Powell said.

Monetary policy in large part has been geared towards cooling a hot labor market in which the current 3.4% unemployment rate is tied for the lowest level since 1953. Inflation by the Fed’s preferred measure is running at 4.6%, well above the 2% long-range goal.

Economists, including those at the Fed itself, have long been predicting that the rate hikes would pull the economy into at least a shallow recession, likely later this year. GDP grew at a less-than-expected 1.1% annualized pace in the first quarter but is on track to accelerate by 2.9% in the second quarter, according to an Atlanta Fed tracker.

Powell spoke the same day that the New York Fed released research showing that the long-range neutral interest rate — one that is neither restrictive nor stimulative — is essentially unchanged at very low levels, despite the pandemic-era inflation surge.

“Importantly, there is no evidence that the era of very low natural rates of interest has ended,” New York Fed President John Williams said in prepared remarks.
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“So as a result, our policy rate may not need to rise as much as it would have otherwise to achieve our goals,” he added. “Of course, the extent of that is highly uncertain.”
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This means nothing. GG Powel.
 
Bog-standard Poster said:
There will be workarounds for this. Imagine if Bob's Guns 'n' Ammo, was facing losing 80% of its' business because people don't want the government to see Bob's customers buying Ammo. Bob could, theoretically, sell a 'store card' that you load up with $500 credit. At this point, it's fairly obvious Bob is selling ammo and the customer is buying cards to secretly buy ammo.

The trick then would be for Bob to change the name to Bob's Cafe. He could sell a selection of food and drinks to hide that his customers are really buying Ammo. For extra protection, you could set up a direct debit with Bob, where he charges you a daily amount of $5 (to make it look like your buying a sandwich every day) for 100 days.

Bob gets business, you get ammo and the government gets to see fuck all.
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If the government is intent on controlling sales of ammunition, fucky workarounds like this will not work forever and in the long run will endanger Bob and his customers. The only solution is legislation.
 
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Bog-standard Poster said:
I agree. if it comes to it, there will be ways to beat the system.

Medieval Britain had underground rooms to practice banned religions
Prohibition America had the Speakeasy
Digital currency future will have ways to hide purchases

The common man is a genius when he needs to be
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It will just be bartering. This is already done with EBT cash. Anyone who lives in the city knows about the ghetto economy. Someone gives the EBT holder 100 dollars and they buy 200 bucks worth of grocery for the person with the $100.
 
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attractive_pneumonia said:
It will just be bartering. This is already done with EBT cash. Anyone who lives in the city knows about the ghetto economy. Someone gives the EBT holder 100 dollars and they buy 200 bucks worth of grocery for the person with the $100.
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except EBT would be gone too and it's all managed via your digital wallet/allowance.
 
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>TRUST ZE BANK GOYIM! BITCOIN IS LE SCAM
>*a bank crashes*
>uhhh... NEVERMIND THAT GOYIM! KEEP TRUSTING THE BANKS, THEY ARE SCAM- I MEAN, THEY'RE THE SAFEST WAY TO PUT ALL OF YOUR MONEY AND THE SAFEST PLACE TO INVEST YOUR MONEY

daily reminder that the fuck nuggets who keeps screeching about bitcoin "being le scam" stay quiet when a bank go boom boom :story::story:.
 
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ZMOT said:
except EBT would be gone too and it's all managed via your digital wallet/allowance.
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No no, you misunderstood what I was saying. The person who wants the ammo or guns will buy 200 dollars of groceries for the person whom will spend 100 using their card to buy the ammo. Thus the purchase is proxied on the government record.
 
Male Idiot said:
Banks and bitcoin can be both jewish scams
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nope, just banks. banks are by far the biggest scam that everyone worships. bitcoin/cryptocurrency has potential. shame the crypto scene got ruined by scammers but hey, at least shit like monero and other trustworthy cryptocurrencies out there proved that cryptocurrency isn't about scamming people.
 
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base invader said:
nope, just banks. banks are by far the biggest scam that everyone worships. bitcoin/cryptocurrency has potential. shame the crypto scene got ruined by scammers but hey, at least shit like monero and other trustworthy cryptocurrencies out there proved that cryptocurrency isn't about scamming people.
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Pretty much every sin with crypto boils down to one of two things: misusing it or throwing assets into some bullshit memecoin (Doge is an extremely rare exception to this rule and I still wouldn't recommend it).

Stop using crypto as an investment, a long-term wealth storage, or anything else besides completing transactions with the speed of the internet but without requiring governmental consent.

The whole goddamn intent was to fund medical aid in Pakistan and not get your bank account frozen by ZOG, give your kid(s) an inheritance without 50% of it being automatically robbed, or do business with somewhere under 'sanctions' instated by some dipshit politicians already dead of old age.
 
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Cpt. Stud Beefpile said:
Pretty much every sin with crypto boils down to one of two things: misusing it or throwing assets into some bullshit memecoin (Doge is an extremely rare exception to this rule and I still wouldn't recommend it).

Stop using crypto as an investment, a long-term wealth storage, or anything else besides completing transactions with the speed of the internet but without requiring governmental consent.

The whole goddamn intent was to fund medical aid in Pakistan and not get your bank account frozen by ZOG, give your kid(s) an inheritance without 50% of it being automatically robbed, or do business with somewhere under 'sanctions' instated by some dipshit politicians already dead of old age.
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Cryptocurrency in general is no worse of an investment than the stock market. Check the actual numbers. Bitcoin in particular has performed extremely well. As for a long-term wealth storage, as long as you don't keep it on an exchange, it's no worse than keeping your money in the bank.
 
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