Wednesday, March 22, 2023

Yellen: Nope!! No Discipline!! Nope!!

Because Yellen made an extremely stupid unforced error the other day, saying that 'only the Big Banks will have deposit protection,' she had to "fix" her mistake.

So she blew an even bigger hole in the Titanic.

...on Tuesday Treasury Secretary Janet Yellen tore it up by announcing a de facto guarantee of all $17.6 trillion in U.S. bank deposits. Regional bank stocks rallied, but it’s important to understand what this moment means: the end of market discipline in U.S. banking.

“Our intervention was necessary to protect the broader U.S. banking system,” Ms. Yellen told the American Bankers Association convention. “And similar actions could be warranted if smaller institutions suffer deposit runs that pose the risk of contagion.”...

Apparently it is a requirement that to join the Biden Administration, you must be terminally stupid.

Prove me wrong.

3 comments:

Anonymous said...

Buy more ammo

Anonymous said...

and where is congress on this? Where is the house of representatives on this?

Crickets?

Anonymous said...

Surber is dead right on this just like Market ticker guy


https://donsurber.substack.com/p/dont-save-the-banks


....The collapse of two big Democrat-run banks in Democrat-run states has the Democrat-run Federal Reserve and the Democrat-run Treasury Department telling us we are in a crisis. Democrats tell us the government must save the banks. Democrats want to save the banks by targeting community and regional banks in Republican-run states, not the big banks that failed.

Sure, that will work just dandy......