Blackrock: "Get ready for a recession unlike any other. What worked in the past will not work now."

[MalO]

I'm surprised First Republic survived yesterday. Its stock dropped over 60%.

Slow motion crash.

 

[Cheddarwurst]

So all the banks are connected as this is a golbal banking system. So when one collapses the rest will eventually collapse like dominoes.

We're going to the digital currency very soon and banks will become irrelevant. This will be called an emergency and during this crisis the banks can now bail in (legal since 2014). That means they steal all the assets from the citizens and bank runs will start happening everywhere. So, if you have any cash, investments, loans, mortgages, safety deposit boxes with the banks it will be taken from you. Also, the FDIC can only cover up to 1% of the population so the 99% will be screwed again.

They will print the money to oblivion causing the hyperinflation which will be the "Crisis" and the sheep will beg for the digital currency to solve the problem.

Only assets that will retain their value is land owned by you, some businesses that are designed to handle a mega collapse, precious metals, bullets and guns, tech that creates electricity, and water filtration systems.


Edit: Throughout history of major civilizations rising and falling the same trend happens but in various ways but the beggining and end are all the same. A civilization starts with sound money. Then the so called rulers cheat out the people/peasants and devalue the currency so they acquire more wealth over time. Eventually the civilization and the currency crumbles and fails and the new city/civilization goes back to sound money (silver and gold). This is a once in a 500 year opportunity to invest in silver as it's the most manipulated and supressed asset in history. It had a 1:1 Gold to silver ratio at one time but now it's nearly a 1:100 ratio. Also, one tenth of a silver oz used to be an average day's wages for a man. Lastly one silver ounce used to be worth one acre in America at one point in time. Now days you're lucky to buy a dozen organic eggs and a loaf of organic bread with a one oz coin. Eventually the real value will rise from the ashes once the reset happens.

I always tell people start your foundation with 100 oz of constitutional silver. Then go for 1,000 oz of eagles and maples, then as much as you want in rare micro mintages for an investment to get much more than the value of the silver alone. Silver shield micromintages I've acquired have done better than any other silver mintage on earth as some of the one's I've purchased have gone up 10x or more. They're on golden state mint.

What is considered a micro mintage?

 

[MalO]

^ Listen to what Rossman has to say about the failing banks. The banks bought treasuries which pay out X% each year, and they last for 10, or 20, or whatever number of years. The problem is if inflation rises higher than that X% they start losing money on their investment. So what do they do if people start pulling out their money? They have to sell those bonds, but because of the inflation nobody wants them so they sell at a loss. The bank gets fucked.


^ That's what the FDIC insurance thing is about. They drove the bank into oblivion in order to force the Fed to bail them out with FDIC insurance. This gives the rich a "get out of the bond market free" card. All they had to do was act like depraved criminal fucks and ruin the economy for everyone else.

 

[MalO]

The rich are subhuman scumbags. Dishonorable, criminal, unholy, untouchable filth worse than any leper.

Everything the nazis said about the jews, and worse.

 

[MalO]

If it's true that SVB was about getting rich people out of the bond market without losing any money, then what was SIgnature bank about?

Signature Bank seized to send banks a message, director says

A regulatory takeover of a New York-based bank was intended to send a message to U.S. banks to stay away from the cryptocurrency business, a former member of Congress who was on the bank’s board says.

apnews.com

Barney Frank said that Signature was stable when federal regulators swooped in took control of it. He thinks it had to do more with SIgnature being a big player in crypto and the feds didn't like that.

So maybe these failures aren't about banks being short on cash. If it was then Credit Suisse and First Republic would have crashed already, and probably many other banks too.

Were these two banks were targeted to advance specific agendas?

 

[s-ou-thern]

Like this.

View attachment 173295

An accurate headline would be

“Trump did not prepare for absolute morons that hate the country running the country”

 

[MalO]

>:0

And only because the bank crashed on a friday and state employees don't work on the weekend!

 

[MalO]

PB is right but it can be hard to follow so I'll explain it here:

1. Fed offers banks loans with a better interest rate than the rest of the market

2. The Fed will accept treasury bonds at face value (this is a big deal because bonds are shit right now compared to inflation. As a result they are valued at less than face value by the rest of the market) To further explain if your 10 year bond gives you 2% per year, and inflation is 6% per year, you are losing money on your bond. So nobody wants that dogshit.

3. This now creates an incentive for banks to buy up all the bonds (which they can buy at less than face value) and then trade them to the Fed for loans with good interest rates. This gives them net profit because those bonds are dogshit but the Fed is accepting them at face value.

4. Because this is profitable to do, they repeat this until the Fed is holding all the bonds, and the banks are fully monied up with loans from the Fed.

5. Like PB said, this is a bailout. It's a complicated and round-about way for the Fed to bailout the entire banking system. The taxpayers still pay for it. The money has to come from somewhere.

 

[CDDP]

 

[hmt5000]

Lost brain cells reeding first paragraph

You still defending this economy or nah?

 

[CDDP]

If the FED holds firm and keeps raising rates the economy will implode under all the debt, but if they fold and start cutting rates inflation will rage destroying the economy.

 

[MalO]

If the FED holds firm and keeps raising rates the economy will implode under all the debt, but if they fold and start cutting rates inflation will rage destroying the economy.

The thing is most of this debt is held by institutions like banks, hedge funds, and debt collection agencies. Mortgages especially. The idea that most debt is caused by credit cards and held by private citizens is bullshit. The vast majority of debt is rich people playing games with it.

* For the record, a mortgage is held by a bank. You can walk away from it and the bank seizes the asset (the house) that is not a debt held by YOU. It's not your house. It's the bank's house. Mortgage debt is one of the biggest problems facing our economy it's a systematic risk and it should never have reached the point of catastrophe like it is today.

The economy as a whole is bigger than that. There are lots of people who work jobs and need to get paid to pay rent, buy groceries, put gas in their car. None of this needs debt what it does need is a functional currency.

If they raise rates, multiple banks will collapse but the dollar will survive. A lot of rich people will lose their fortunes but most people will survive and things will eventually get better.

If they lower rates, the dollar becomes worthless and the entire economy collapses. This is a doomsday scenario. Who knows what happens to the USA after this.

The problem is that these rich people are spiteful, narcissistic psychopaths. They hate the rest of us and have been doing everything they can to increase the wealth gap for the past 50 years. They have spent their entire careers trying to impoverish us to enrich themselves. They would rather choose the second scenario and destroy the entire economy than admit defeat and lose their fortunes and watch as things improve for the rest of us.

 

[MalO]

Looks pretty convincing to me. The answer isn't bailouts the answer is prison time.

 

[MalO]

I'm impressed. I didn't think I would see something like this in the MSM.