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General Category => Editorial/Opinion/Blogs => Topic started by: mystery-ak on March 11, 2023, 03:05:53 pm

Title: Fasten your money belt — it's going to be an extremely bumpy few years
Post by: mystery-ak on March 11, 2023, 03:05:53 pm

March 11, 2023
Fasten your money belt — it's going to be an extremely bumpy few years
By Ethel C. Fenig

Yesterday, along with many, many others, I mentioned a major  financial concern:

Quote

The problems of two small banks on the West Coast are rippling across markets and causing new investor concerns about some of the country’s largest financial institutions.

Why? Three words: rising interest rates.

The Federal Reserve’s aggressive campaign to bring down inflation helped set the stage for major problems at two California lending institutions — SVB Financial (SIVB) and Silvergate Capital (SI) — as an outflow of deposits forced both to sell assets at a loss. Those assets were bonds.

BOOM!  BOOM!  POW!  Friday it happened: Silicon Valley Bank (SVB), the U.S.'s 16th largest according to the Federal Reserve, collapsed — the second largest failure in U.S. banking history. 

more
https://www.americanthinker.com/blog/2023/03/fasten_your_money_belt_its_going_to_be_an_extremely_bumpy_few_years.html