Her only competence is being a Party Aparatchik.
Posted on 03/13/2023 6:05:57 AM PDT by Oldeconomybuyer
Despite skeins of bank regulations supposed to prevent another financial meltdown, Silicon Valley Bank, the country’s 17th-biggest bank, went down in flames last week.
There’s plenty of blame to go around, but when a financial institution goes under, you have to wonder: where were the regulators? After all, there were more red flags than you see at a CCP convention.
Consider the Financial Stability Oversight Council, the body created in 2010 after the financial crisis, which was meant to avert just this sort of collapse. The council is chaired today by Treasury Secretary Janet Yellen and includes 9 other voting members including Fed Chair Jay Powell, the heads of the FDIC and the Bureau of Consumer Financial Protection (CFPB), Gary Gensler, head of the SEC.
The council’s website defines its task as "identifying risks to the financial stability of the United States..."
The council last met on February 10. The readout of that meeting shows the group previewed its 2023 priorities, which included "climate-related financial risks, nonbank financial intermediation, Treasury market resilience, and risks to digital assets."
Climate change, which it describes as "an emerging threat to U.S. financial stability," is identified in the 2022 annual report as a "key priority" and has been one of the council’s principal preoccupations for the past two years.
To be fair, the council was also concerned about crypto currency-related risks, nonbank financial intermediation and the resilience of Treasury markets. Those were the issues on which the council was focused, not mounting portfolio losses and declining deposits.
What does all this mean for the average American?
There will be damage. The Fed will be more cautious about raising rates going forward.
None of this bodes well for stock prices, economic growth or wealth creation. Will President Biden still claim his economic plan is working?
(Excerpt) Read more at foxbusiness.com ...
Her only competence is being a Party Aparatchik.
If the bank was politically connected (Barney franks on the BoD) and all the customers major Democrat donors, people would go to prison and customer deposits over $250k lost.
As it is, there is a complete taxpayer funded bailout with customer deposits in the millions being paid by taxpayers.
Must be nice to be part of the Ruling Class.
Socialism is awesome for them!
*not
Climate change, which it describes as “an emerging threat to U.S. financial stability,” is identified in the 2022 annual report as a “key priority” and has been one of the council’s principal preoccupations for the past two years.
Don Quixote rides again!
“ It has since been reported that the bank had not employed a chief risk officer in the months leading up to Friday’s collapse and had not insured roughly 90 percent of its deposits.”
ESG = woke ideology
In this case literally - everything woke goes broke
I like the headline.
Liz Peek is a regular guest on Varney.
Joseph Zeballos-Roig
@josephzeballos
Former Rep. Barney Frank (D-MA) endorsed changes to his own Dodd-Frank law in 2018 that freed mid-sized banks from undergoing stress tests. He sits on Signature Bank’s board, which just collapsed.
I reached him via phone tonight and he declined to comment
washingtonpost.com
A lot of people heard what Barney Frank said about the new banking law. Few knew he works for a...
8:26 PM · Mar 12, 2023
Silly question. Well of course he will! He's a legend in his own mind!
We need an image of Yellen in a Baghdad bob pose.
I don’t get the kill the depositors idea. Kill the owners, the equity holders, and those who ran the place at the top levels, even claw back their recent withdrawals.
The depositors have $250k insurance.
Despite having millions over the insured limit, They are getting made 100% whole because they are Democrat donors.
It’s unfair and special treatment for the politically connected.
Joe Taxpayer is paying billions to billionaires.
Why should you and I have to pay to bail them out of their stupid financial choices?
The FDIC insurance covers the first $250,000-—Used to be only $100,000-—but was raised some years ago.
NOTHING above $250,000 is insured.
THAT IS THE FAULT of the DEPOSITOR-—NOT the BANK.
IF I WON $10 MILLION NET in the LOTTERY-—I would need to open 40 bank accounts in 40 different banks to have my $$$$$ FDIC insured.
I can assure you that MOST of today’s Company financial officers DO NOT KNOW THE FDIC LIMITS.
I have done accounting/bookkeeping for over 53 years for small businesses—and while they rarely had such sums-—NONE of those people KNEW the rules.
I get conflicting answers to the question of FDIC limit. Is it $250k per account or $250k per individual? If I have two separate accounts at the same bank ($150k and $200k), are both fully covered, or only a total (between the two accounts) of $250k?
I thought Barney Frank assumed room temperature years ago; but his Miserable contribution to the USA still lives on in perpetuity w/ the Dodd-Frank LAW,how entirely unfortunate for all of us.
What the hell use is a banking system when you don’t have an environment?
The depositers were covered by insurance too. Insurance purchased by the banks.
Over $250 policy limit? News to me.
*$250K
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