Bank Stocks Plunge/Bank Run: People Lining Up To Remove Their Money, First Republic Bank, Wells Fargo, And More: SVB Execs Sold Their Stock Recently, On Twitter, Left-Bots Seek To Blame Peter Thiel
For Warning People To Take Out Their Money From SVB, Named Best Bank Five Times by Forbes
Let’s open up the comments section to people who have a keen sense of what to expect going forward, sound, constructive advice for people, and anything else that comes to mind.
People lining up to pull money out of First Republic Bank in Brentwood, LA this weekend. Wealthy neighbourhood with many uninsured accounts over $250,000. The banks stock is down 33% in the last week. Is this what the start of a bank run looks like?
SVB Has Gone Under Completely — The Second Biggest Bank Failure in U.S. History @TuckerCarlson: "When customers showed up at SVB's branch in Manhattan today to get their deposits back, managers called the police. So what we have here is a 1929-style bank run. And that's not a… https://t.co/zugk2ejgYk
BREAKING: The FDIC is already on site at First Republic Bank trying to determine the best path forward to protect depositors. Things are moving way faster than expected given the accelerating bank run that has already reached a tipping point.
Mike Alfred @mikealfred
As with most things these days, it was a controlled demolition, a take down. SVB had vulnerabilities - they catered to the Silicon Valley tech startup world that boomed during the plandemic when everyone went online. Their customer deposits exploded. Interest rates were extremely low. To get some income they invested the deposits safely in long term US government bonds. As the Fed raised interest rates, the value of these bonds fell and their customers needed cash as the economy cooled. Banks only carry a fraction of their customer deposits in cash. As their customers made withdrawals, they had to sell some of the bonds at a loss, but they weren't in any financial distress. Then JP Morgan, Blackrock, and all of the deep state financial players told all of their customers to close their SVB accounts. Of course, as would be true for any bank in the world, they didn't have the cash to cover such huge withdrawals and before they could arrange loans, the Fed closed them down and took them over.
They could do this to any bank at any time, like they did to SVB and Lehman, or they could paper over the problem. As always it is up to them. They clearly are for the time being working to crash the system. To do this and retain credibility so as to be able to provide the solution, central bank digital currencies, is tricky and requires careful rollout of disasters and timing.
If the media hypes up the fear and the Fed doesn't support the banks, as they've done since the last crash, then it could get ugly. To repeat once again, it is up to them. They have created every crash just as they have created every boom. To give advice is to know their game plan. To trust that the Fed and the Gov't aren't working toward us "owning nothing and being happy" is being blind, deaf, and dumb.
I’m a bit paralyzed by all of this. Prayer is the only thing I can think of at the moment.