Posted on 03/15/2023 8:32:09 AM PDT by packagingguy
U.S. stock were sharply lower Wednesday morning as two economic prints showed a slowdown in February, coupled with fresh turmoil at Credit Suisse that weighed on sentiment.
The S&P 500 plunged 1.4%, while the Dow Jones Industrial Average fell 1.6%. Contracts with the technology-heavy Nasdaq Composite dropped 1%...
But fresh troubles at Credit Suisse injected more jitters into markets Wednesday. The European bank's stock fell more than 20%, plunging to a record low after its biggest backer said it could not provide any more assistance. Credit Suisse on Tuesday disclosed in a report that it had identified "material weaknesses" in controls over financial reporting.
(Excerpt) Read more at finance.yahoo.com ...
While I agree that is the proximate reason for the collapse, it speaks loudly of a much deeper problem.
When U.S. Treasuries become a toxic asset, the U.S. is in very serious trouble.
The borders? After nothing but lip service and lies for 50 effing years all those professional politician sons of b*tches in D.C., should be held on criminal charges for all those chaos and violence which has been produced and directed by these traitors. Let the victims families of this epic never ending crimewave have their way with them.
“ All risk is gone.
No one can fail.”
This is what happens when politics controls your entire society. What fails is the entire society…in an avalanche.
Yesss! More time spent on woke issues than doing their jobs.
According to the Big Four auditor everything was perfect.
The “experts” never saw it coming....
One great Zero Hedge comment:
Big Four Audits are like vaxxes:
Safe and effective!
“If SVB had more short term bonds there would be no collapse.”
Knowing to do that would have required hiring qualified bankers and paying attention to risk management and other boring fiduciary stuff.
As we all know it’s much more important for a bank to hire personnel according to Diversity, Equity and Inclusion. And to base lending on an Environmental, Social and Governance scorecard.
By those measures SVB is a roaring success.
The atmosphere in United States today is no dare utter one word against Woke agenda. If you do you will be immediately tarred with tar & feathers by the media. Looks like Canada & EU have the same problem. Our biggest competitor, China, has not adopted the same mindset.
Totally agree with your assessment of the decimation of the spending reserves of the American taxpayers. Can see all around my environs the diminishing standard of living for all income classes. Probably not the correct forum to bring this up, but I was somewhat disappointed to read our church bulletin front page this past Sunday advising parishioners to heed their 10% tithes. Then went on to quote scripture advising this be done. With so many people struggling just to afford the bare essentials, it would seem to me that the church could search for ways to trim their budget (such as so much sent to foreign charities and nations) and be thankful for the tithes they receive in light of very trying financial straits for so many people.
It’s not just our government, financial institutions which are mismanaging others’ money — this is happening everywhere.
“Our biggest competitor, China, has not adopted the same mindset.”
China is run by serious people.
A decades long culture war on American males has resulted in this country being run by the incompetent and ignorant.
“Probably not the correct forum to bring this up, but I was somewhat disappointed to read our church bulletin front page this past Sunday advising parishioners to heed their 10% tithes.”
This is the correct forum.
Everybody wants somebody else to pay the bill—and think they have the moral high ground to make the claim.
That is part of what the “woke” agenda is all about—essentially a new religion that demands corporate tithes.
We also see it in the green movement—demanding “carbon credits”, the new indulgences.
It'll be interesting to watch. If they had covered the socially/legally agreed upon amount - $250,000 per depositor, then offered to pay twenty cents on the dollar above that amount (as a one time deal) - it would send the message 'be stupid and almost lose it all'... It would likely stop bank runs and curb perverse incentives while not giving a free pass to idiots. Biden's solution kicks the can down the road... he's a fool.
Our biggest competitor, China, has not adopted the same mindset.
************
They recognize national destructive behavior when they see it.
People are unwilling to do deal with the short term pain of rising interest rates. But Wealth lost through inflation is permanent.
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