|
2023-04-04 Economy
|
|
The West is facing a banking crisis. Russia is turning into a safe haven
|
Direct Translation via Google Translate. Edited.
by Victoria Nikiforova
[RIA] The US authorities are trying to pretend that they managed to stop the collapse of banks in March and, thus, the crisis has been overcome. Actually it is not. Large regional banks remain at risk, depositors continue to withdraw money from them. Next in line for bankruptcy is the 14th largest US bank, First Republic.
Continued from Page 5
With regard to the succession of bankruptcies, many said that they were beneficial primarily to the leviathans of American banking with a capital of more than a trillion dollars. They supposedly bankrupt competitors on purpose so that money flows to them. Like it or not, this time the Fed forced the financial giants to participate in the rescue of First Republic Bank.
The richest banks chipped in and donated thirty billion dollars to him. It quickly became clear that this did not work. First Republic stocks hit one bottom after another. If at the peak they were worth $147, now they are trading at 12-14. Depositors continue to withdraw money. The Wall Street Journal is confident that the First Republic is doomed, and writes openly about it, although the American media is used to hiding the unpleasant financial truth from citizens.
The contagion of bankruptcies quickly spread to Europe . The legendary Swiss Credit Suisse collapsed . Then shares of such giants as Deutsche Bank went into peak. Numerous searches on the topic of tax evasion are taking place today in the largest French banks BNP Paribas and Societe General.
Experts explain the possibility of a massive collapse of Western banks by the huge amount of debt accumulated in the system. Financial institutions have been lending and re-lending each other for years, and as a result, about 90% of their money is borrowed - it's a matter of time before this MMM collapses . The non-specialist can see that the stupidity of governments and the greed of banks have led to a dangerous line.
Due to the fact that the authorities launched the printing press, inflation in the US and Europe last year was between eight and twenty-odd percent. Rates on deposits practically did not rise. Look at England for example . There, only official inflation is more than eleven percent - in real life, the situation is even worse. And all the major banks in the country offer less than 1.3% on an annual deposit.
The situation is the same in America , although the Fed has been raising rates there for a year now. Inflation is almost ten percent. And the average "yield" on an annual deposit is 1.28%, on a five-year deposit - 1.21%. Calling a spade a spade, the depositor pays the bank extra for keeping his money - and he pays very well.
Naturally, citizens withdraw money from their accounts and transfer it to whoever they want. Individuals are poorer in spending their savings on purchases - otherwise the money will still be devoured by inflation. Businesses and wealthier people go into stocks, trying to buy gold. Here, however, there is always a fear that the authorities will suddenly confiscate the precious metal: in the United States, for example, private traders were forbidden to own gold in 1933, and this ban was in effect right up to 1974. But in any case, the trend is clear - depositors are trying to withdraw their money from banks.
At first, it seemed that trillion-dollar banks were immune from this economic hurricane. However, it is not. Reporting of the largest US banks over the past year is amazing.
Wells Fargo Group, the fourth-largest bank in the United States, saw revenue fall 13 times in 2022 compared to 2021. Its shares are worth 27% less than a year ago. Shares of the second largest Bank of America are worth 35% less. And so they are everywhere.
Interestingly, bank shares collapsed immediately after the publication of reports. Perhaps that is why the largest US financial leviathan JP Morgan Chase is in no hurry to publish its financial statements. But the legendary bank got into a huge scandal. CNBC reports that the bank's owners have decided to fire Jamie Dimon, their longtime CEO, a charismatic billionaire obsessed with the "great reset", a fanatical supporter of the Democratic Party . By the way, it is he who made the prediction about the "economic hurricane" that the world will have to endure in 2023.
It suddenly emerged that Jamie Dimon was tangled up with notorious pimp Jeffrey Epstein, who died mysteriously in a New York prison in 2019. No, the banker has not yet been charged with specific cases of violence, but the feds suspect him of helping Epstein make money by selling underage girls to VIPs, keeping this money in JP Morgan Chase accounts and investing it profitably. Jamie Dimon promised to testify under oath about this.
This good-looking gray-haired gentleman has been going around the world for decades, urging us to consume less, eat and drink less, save the climate, stop breeding and everyone urgently go into transgender people. And now he will testify in the case of mass violence against minors. Thus passes the glory of the world.
It does not leave the impression, however, that this high-profile scandal is intended to blur the matter with the reporting of JP Morgan Chase. Because the collapse of the shares of such a giant will make it obvious what the authorities are still trying to hide: the banking crisis is already sweeping across America and Europe.
But how dangerous is this for the rest of the world? After all, Americans are recognized masters at exporting their problems. Specifically, in the banking sector of Russia, its isolation plays into the hands. Paradoxically, the Austrian Raiffeisen became the leader in terms of income in 2022 among European banks , and precisely due to the fact that it remained almost alone in the Russian market. Only Sberbank did better with profitability.
Naturally, the European authorities are now pressing hard on Raiffeisen to leave Russia and go bankrupt along with everyone else. Well, this proves once again that our country is a classic safe haven in a raging economic hurricane.
|
Posted by badanov 2023-04-04 00:00||
||
Front Page|| [24 views ]
Top
|
|
17:51 Super Hose
17:19 Uneanter Snavith8416
16:56 Jefe101
16:32 Mullah Richard
16:29 Mullah Richard
16:27 Mullah Richard
16:19 Mullah Richard
16:16 Procopius2k
16:15 swksvolFF
16:11 Besoeker
16:09 Tom
16:08 Procopius2k
16:05 Procopius2k
16:04 Skidmark
16:04 Lord Garth
16:01 Lord Garth
15:55 M. Murcek
15:52 Lord Garth
15:30 NoMoreBS
15:16 Mullah Richard
15:12 MikeKozlowski
15:09 NoMoreBS
14:57 NoMoreBS
14:56 Grom the Reflective
|
