augustus

From the article YOU cited: "Those are the innovations of Dodd-Frank. The biggest point of all, though, is that, even before Dodd-Frank, and even after 2018, the supervisors retained all of the tools necessary to pursue any question of risk concentrations or risk mismanagement up to and including forcing a bank into liquidation. And that’s what we did not see. We saw the red flags, and Bloomberg’s report says that the supervisor saw those red flags, too. What they didn’t do is act on them. And that’s the question we still don’t have an answer for." ( Peter Conti-Brown, an associate professor of financial regulation at the Wharton School and an expert on the Federal Reserve.)

It is atrocious that $70 billion of public money should have been spent on just these 3 banks, especially with the size of the National Debt. If a bank has crap loans on its books it is not the world's fault. Just liquidate the bank and let the bondholders and those depositors with over 250K eat the loss. Dodd-Frank was supposed to prevent this but apparently not. Business can protect its large deposits by investing in money market funds that invest in Treasury paper or having an account at a bank that sweeps all the money into a Treasury money market fund at the end of the day. The hedge funds had their money reimbursed with SVB!

Not even close. "Subsidies" to the fossil fuel industry in the US amounts to about $10 billion a year, most of which are deductions available to many manufacturers. https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/efforts-to-remove-billions-in-us-fossil-fuel-subsidies-face-uphill-battle-75649055 There is NO ARGUMENT to businesses losing their cash flow, when tens of millions of individuals are barely able to make ends meet. The businesspeople should know better if they're in business, or they shouldn't be in business. 3 medium sized bank failures costing the public treasury $70 billion is outrageous. Those banks should have been allowed to fail and let the chips fall where they fall. There are over 5,000 banks in this country and somehow some people believe they should receive preferential treatment. Sure, bail out the hi-tech snobs at SVB in CA and the real estate developers at Signature Bank in NYC, but let hundreds of people in Phoenix die every year from heat stroke because there aren't enough cooling centers.

Do you all remember a year ago that Yellen said the rescue of SVB and Silicon Bank would not cost the taxpayers anything because the money would come from the FDIC and assessments on banks? Well, that was one BIG LIE! Read the 2nd paragraph of this article: 2024 federal budget deficit projection rises to nearly $2 trillion - ABC News ABCNEWS.GO.COM The new projection comes from the nonpartisan Congressional Budget Office, They will never recover that $70 billion the taxpayers have paid for SVB, Signature Bank and First Republic. Instead of just covering the 250K limit, they cover everybody including the wealthy, big companies, bondholders, etc., people that should know better and take other measures to protect their large deposits.

No, keep it in the bank and under the 250k limit. Even as some banks fail the government will have no choice but to at least pay the insured deposits. Otherwise, all hell will break loose. The Treasury and the Fed will just print the money, even if it's inflationary.

Yes, 3.3% is less than the previous 30%+. But it is IN ADDITION to a huge run up over the last 3 years. I wish the cheerleaders would stand outside a supermarket or pharmacy and ask people their opinions of price increases. The damage is massive and done. A big drop in living standards that will not be reversed. Amazing how some people want us to forget about the massive increases from 2020-2023 which have not subsided (and never will).

The single-family home market is definitely cracking in Florida and SF and other places too. It's all over the news! The commercial real estate market is imploding. The tallest office building in Fort Worth just sold for $12 million when it sold for $137 million just 3 years ago. Many banks, particularly regional banks, are going to fail because of this. There are dozens of banks now on the FDIC problem list. There are now some "insurance companies" selling annuities with an interest rate of over 6%. Do NOT buy them. Barron's had a recent article that investigated this and found these companies have invested in "businesses" that have no record of any business activity. Gainbridge is advertising annuities paying 6.15%. Stay away! Then the private credit market is also cracking, and people are losing their life savings. @RadioRob asked about these private credit investments a couple of years ago here and I strongly advised against them.

Talk about real estate bubbles bursting, look at this article about San Francisco. Condo prices are crashing there. https://www.msn.com/en-us/money/realestate/california-condo-prices-crash-by-up-to-40-in-some-areas/ar-BB1nFA8v?ocid=msedgntp&pc=HCTS&cvid=cbb2ef4e5d5b45eeaca60af4b6e1cd7b&ei=25 A downtown San Francisco recent condo sale...... Purchased in 2015 for 2.001MM Just sold for $1.168MM $833k loss

I pray you are right.

Well said. A judge who was hand-picked instead of chosen by the normal lottery system and whose jury instructions were so convoluted they took up 55 pages and 90 minutes to read, just for starters. No one should be a "convicted felon" under these circumstances and lose any rights.

A "convicted felon" ain't officially convicted until the appeals process has run its course. They retain rights. ha ha

Yes. Nothing in the U.S. Constitution bars a felon from running for office, up to and including the top office.

Says the one who started a "not allowed discussion". Too funny.

You can certainly do anything once a silly meritless conviction is overturned on appeal.

I do. There are some people here who cite the core and claim that inflation isn't bad, which is a blatant lie. Inflation is worse than any official numbers. Bloomberg had an article on it. We have had more than 14% inflation in the last 3 years. It's at least double that.

And when the politicians and the Fed talk about inflation, they just so happen to use the core index which excludes food and energy.

Agreed. I know 2 adults who started smoking weed when it became legal in my state two years. It's like they are descending into madness with the paranoia and irrational thoughts. And an ER doctor neighbor told me they are seeing many young people with mental problems caused by pot. All drugs are bad and there's nothing "cool" about them.

They should! How much of a decline in prices is the question. Just look at this article. As I've been saying inflation is far worse than the official numbers. They have to lower prices because people ain't got the money anymore. McDonald's exec says average menu item costs 40% more than in 2019 WWW.CNBC.COM The president of McDonald's USA clarified its price inflation in a press release in response to 100% price increase claims by House Republicans, among others.

Here's another article: Legal Pot Is More Potent Than Ever — And Still Largely Unregulated - KFF Health News KFFHEALTHNEWS.ORG As marijuana has become far more mainstream, potent, and sometimes dangerous, uneven regulation at the state and federal levels leaves consumers at risk.

Incorrect. The potency of pot today is very high and causing serious problems. Just what this country needs! Pot is something you do in high school and then move on. It ain't cool. Life is difficult enough as it is. Not Your Grandmother’s Marijuana: Rising THC Concentrations in Cannabis Can Pose Devastating Health Risks MEDICINE.YALE.EDU Brain changes and other cannabis side effects need more study, say Yale researchers.

US Treasury yields for 5/28/24: US 2- MO 5.386 US 4- MO 5.41 US 6- MO 5.383 US 1-YR 5.232 US 2-YR 4.964 It's official. CD rates cannot beat treasuries for the time being. It used to be the other way. In addition, the interest here is non-taxable for State income tax purposes so the yield is even better.

Have a practicing divorce attorney represent you when writing your prenup. They’ll know what to include, what could come up and most importantly what a court would actually enforce.

Hundreds of Nursing homes and Assisted Living facilities have closed in Florida the last few years because of the insurance crises there. What a horrendous situation. Hundreds of nursing homes in Florida forced to close due to surging property insurance rates (msn.com)

Reb Lobster filed for bankruptcy today, May 19, 2024. Sad.

Ahhh yes, I forgot about that! Countrywide was a disaster.