Earlier today commenter mistcr made what I considered to be an astute comment regarding Matthew Crawford’s take on SVB’s place in the Banking/Monetary crisis. Crawford himself refers to the entire business as part of the Monetary Wars. He’s currently up to Part 17. He’s a smart guy, especially when it comes to putting numerical data into larger patterns, and a talented writer. However, mistcr noted:
This article by Simon Black over at Sovereignman really spelled it out for someone like me who finds the economics of it all hard to understand. What really hit me between the eyes was his comment that the 2008 crisis was caused by the subprime stuff, lending money to NINJAS that had no chance of being paid back, while today's crisis is caused by these banks over-investing in US government bonds that "are supposed to be the safest, most ‘risk free’ asset in the world." In short, "These losses didn’t come from some mountain of crazy NINJA loans. SVB failed because they lost billions from US government bonds… which are the new toxic securities." That's how far we've come, folks.
According to Yahoo Finance: "BREAKING: Inflation rises at slowest annual pace since late 2021". Shows how desperate they are to stop Powell raising rates anymore. Let's see what he does next week. Will he cave or stand strong?
The neocons must be close to being the most deluded people on the planet. They still believe that bullying China (e.g. the unsurprisingly unanimous vote in Congress about Covid's "Chinese" origins, the new "temporary" bases in the Philippines) will force them into line. On the contrary, everything they do makes the Chinese realise that they are in an existential war for their existence. It's both amusing and deeply disconcerting to see the diplomatic efforts of 70 years being demolished in a few short months of madness.
This article by Simon Black over at Sovereignman really spelled it out for someone like me who finds the economics of it all hard to understand. What really hit me between the eyes was his comment that the 2008 crisis was caused by the subprime stuff, lending money to NINJAS that had no chance of being paid back, while today's crisis is caused by these banks over-investing in US government bonds that "are supposed to be the safest, most ‘risk free’ asset in the world." In short, "These losses didn’t come from some mountain of crazy NINJA loans. SVB failed because they lost billions from US government bonds… which are the new toxic securities." That's how far we've come, folks.
https://www.sovereignman.com/trends/if-svb-is-insolvent-so-is-everyone-else-146244/
According to Yahoo Finance: "BREAKING: Inflation rises at slowest annual pace since late 2021". Shows how desperate they are to stop Powell raising rates anymore. Let's see what he does next week. Will he cave or stand strong?
Where’s all the talk lately about loosening Iran sanctions to comply with the Obama/Kerry Uranium enrichment agreement?
Oh… right…
it seems like up to about 6 months ago, no one gave India a second thought.
Now they seem to be a quite powerful independent faction in this restructuring of the world polarity.
“Never underestimate Joe’s ability to f... things up.” Barack Obama
The neocons must be close to being the most deluded people on the planet. They still believe that bullying China (e.g. the unsurprisingly unanimous vote in Congress about Covid's "Chinese" origins, the new "temporary" bases in the Philippines) will force them into line. On the contrary, everything they do makes the Chinese realise that they are in an existential war for their existence. It's both amusing and deeply disconcerting to see the diplomatic efforts of 70 years being demolished in a few short months of madness.