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/biz/ - Business & Finance


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54186192 No.54186192 [Reply] [Original]

Explain something to an economically illiterate anon. Is it possible to fight inflation and bail out banks at the same time?

>> No.54186203

>>54186192
no

>> No.54186214

>>54186192
nope

>> No.54186255

>>54186192
Maybe, if they have an ai that knows something we don't.
Or, the Great zreset is upon us!

>> No.54186272

>>54186203
>>54186214
Why?

>> No.54186337

>>54186192
What you are calling inflation is just Putin's Price Hike. Once Ukraine emerges victorious the economy will go back to normal

>> No.54186366

>>54186272
they have to print money to bail out the banks which causes more inflation

>> No.54186378

>>54186272
Because introducing liquidity into the system, regardless of how you do it and where you do it, always cause inflation
>>54186337
Inflation started 1 year before the war thoughever

>> No.54186397

>>54186366
>>54186378
They have printed trillions in the last decade and inflation has remained stable. Why is this time different?

>> No.54186415
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54186415

>>54186272
Banks have no money. NO MONEY.
They spent it all on dumb shit that pays low apy
If people want their money back then banks will have to sell their assets in order to pay their depositors
This will cause the assets that banks have to decrease in value
The more people who want to cash out, the more assets the banks have to sell, the further down the value of those assets fall
The further those assets fall, the fewer dollars banks will be able to give their depositors.
In order to make depositors whole, the fed will need to print a shitload of dollars
These additional dollars will devalue the purchasing power of every dollar.

Alternatively, let the banks bail and save the dollar

Eitherbway it's GGNoRe

>> No.54186437

>>54186192
Yes. They’ll spin the dreidel and invent some new Jewish math to make inflation magically disappear, only to reemerge worse later on.

>> No.54186448

>>54186397
>They have printed trillions in the last decade and inflation has remained stable.
>3 bedroom houses cost 500k to 1 million dollars
Very stable.

>> No.54186456

>>54186397
If you haven't noticed the Fed's retarded policy of reckless money printed created asset bubbles everywhere, everything became unaffordable

>> No.54186465

>>54186397
the cpi is a lie

>> No.54186496
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54186496

>>54186192
yes, you just have to keep the entire system in a quantum superposition and make sure never to collapse the wave function

>> No.54186498

>>54186415
>>54186448
>>54186456
>>54186465
I saw another anon arguing that printing money to inject liquidity into banks does not affect the price of basic items like food and fuel. How true is this?

>> No.54186516

>>54186498
It's false and inflation will rebound harder thanks to Powell being a pussy

>> No.54186522

>>54186415
Almost correct. The truth is, the assets the banks have are total shit, so no one will buy them. They’re not “liquid”, so the Federal Reserve will buy the shit assets that no one else will, with money it creates out of thin air, to provide “liquidity” to the banks. The money the banks receive will be reinvested by the banks or given to depositors withdrawing their money, thus, the newly created money enters the general money supply, and then you have more money in circulation to measure the same amount of goods or services, so the money becomes worth less, and the goods and services become more expensive, starting with where the money goes first, which is usually the stock market, but then trickles down to everything, even consumer prices. That’s how the Federal Reserve creates inflation when they expand their balance sheet. So, they claim to be fighting inflation by raising interest rates 25 basis points at a time (0.25%), but then are providing hundreds of billions of dollars of “liquidity” to failing banks.

>> No.54186540

>>54186498
This is how it works.>>54186522

The increase in the money supply will increase ALL prices, just different sectors first. Where the money goes first, the prices go up first, but it will affect everything, just with a lag time.

>> No.54186547

>>54186522
>where the money goes first, which is usually the stock market
not only
the money goes to:
- banksters
- governments
- well-connected corporations and their shareholders
- well-connected individuals
the money doesn't go to:
- you
but all in all you are correct
they get to spend the money at pre-inflationary price levels, while you get to spend money at post-inflationary price levels, this time without wages going up at all
doomflation

>> No.54186551

>>54186516
Someone in Powell's position always has to look after the bankers' interests

>> No.54186607

>>54186522
>>54186540
Thank you for the excellent explanation

>> No.54186612

>>54186522
and just to be even more explicit, the assets those banks are holding - bonds! Government debt. So those banks gave their money to the government, which distributed it to grifters, who dumped it to buy real assets made artificially cheap by rate hikes + hysteria. And they've decided now it's time to pump those bags

>> No.54186642

>>54186192
Blessed j pow

>> No.54186645
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54186645

>>54186612
and this is what they look like as they socialize in rooms you'll never be in, all while thinking of you and what they're getting away with

>> No.54186731

>>54186645
So these faggots already packed their bags and they want their pump now?

>> No.54186755
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54186755

>>54186192
Our current financial system has no basis in reality and only operates on belief akin to the Greenskins Waagh reality magik from the warhammer universe

>> No.54186767

>>54186522
>>54186540
>>54186612
Interesting. Do you think the plan to rescue the banks will work?

>> No.54186837

>>54186767
yeh, as long as there are no runs.

>> No.54186845

>>54186767
There’s no way to avoid some pain at this point. Either the banks fail and depositors lose their money, or they get bailed out and everyone gets poorer via inflation, and people possibly lose confidence in the USD, which is the worst possible outcome. The only real plan the Fed and government has is to try to avoid any outcome for as long as possible, but it will end one of these ways.

>> No.54186859
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54186859

>>54186731
well, ultimately it's all controlled by the very top of the hierarchy of the elite, and they win either way due to their strategic placements
their two moves, in broad terms, are "pump" and "squeeze"
they have access to these two moves because they control not just the printing press, but because they set the interest rate too
the ultimate essence of the "pump" move is to fire up the printing press and lower the interest rates to zero, handing out money like candy
however, while this lets them buy a shitton of assets, it also lets other connected individuals and banksters and corporations buy a shitton of assets too, all part of the game to maintain their legitimacy in the eyes of the sheep
but the essence of the "squeeze" move is when even many of those banksters and corporations actually do end up getting fucked by the very elite, because that is when they do the exact opposite: halt the printing presses completely and set the interest rate very high
when they do this, tons of people who had been enjoying the "good times" are now suddenly buttfucked and have to hand over their assets
this even goes for many of the "common folk", e.g. people who took out a mortgage when the dollars were flying, but now can't even remotely sustain it, nor find loans to even refinance or restructure their debt, and when this move is played you will even see significant drops in nominal wages, not just real wages, meaning that even people with something as ridiculous as fixed-rate zero-interest loans can get fucked
during these times, the top dog bankstah bosses and other shady elites take control of even more assets
bank foreclosed your home?
it's the bank's now
bank itself got fucked?
well, well, well, who owns that home now?
it's really quite amazing
one should in fact stop for a moment just to appreciate the sheer deviousness of their money magic scheme, and perhaps gaze in awe at just have docile and sheepish the people they're leading to the slaughter really are

>> No.54186900

>>54186859
>well, well, well, who owns that home now?
who?

>> No.54186937
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54186937

>>54186900
Qui?????

>>54186522
Checked

>> No.54186971
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54186971

>>54186192
If anybody can figure it out, it's Credit Sissy
Do you feel safe yet?

>> No.54187035

>>54186192
No. The Fed has to print more money now than they did in 2020 to save the banks and they are going to have to cut their rates immediately.

>> No.54187259
File: 399 KB, 935x733, misesmoneyprintinginflation.jpg [View same] [iqdb] [saucenao] [google]
54187259

>>54186900
>who?
>>54186937
>Qui?????
ah, you want to go a bit deeper down the rabbit hole, yes?
see, the assets of the failing banks are taken over by...the FDIC
well, you might think that's natural, since they're responsible for getting the money back to cover people's losses, but what do they really do with this real estate?
well, they can sell it directly, and it does happen, but on a large scale that would be practically impossible, so what else can they do than to...find an even larger bank to cover it?
>When a bank fails, the Federal Deposit Insurance Corporation (FDIC) will arrange the sale of the bank customer's assets to a healthy bank, or, less commonly, the FDIC will pay the bank deposits back directly.
well, alright
now, if you're lucky and the assets aren't getting out of hand, you've got a lot of bigger banks who have taken over some really horrible mortgages, or outright foreclosed homes that they need to sell, but you can start to see how this ripples through the system, and no one wants to be left holding the bags containing these awful assets
so, what happens when the pressure becomes too much when they pull a "squeeze"?
well, at this point the larger banks start failing, and the FDIC obviously can't sell all that real estate and those mortgages, so who will come to the rescue?
well, you know who, as they literally call themselves the "lenders of last resort"
>Unbelievably, in this situation the Federal Reserve keeps on buying mortgages. It buys a lot of them and continues to be the price-setting marginal buyer or Big Bid in the mortgage market, expanding its mortgage portfolio with one hand, and printing money with the other. It should have stopped before now, but the purchases, financed by newly created fiat money, or monetization, go on.
>[...]
>The total assets of the Federal Reserve reached $8.7 trillion in November 2021. This is just about double the $4.5 trillion of November 2016, five years before—and we thought it was really big then.

>> No.54187296

>>54186192
Is this guy stupid or did he do this on purpose? Inflation is going to get out of control because of his stupid ass rate hikes.

>> No.54187325

>>54186192
It's theft of the poor. If 2 people have a dollar each and 1 side prints 1 dollar but says 3 dollars is worth 2. the printer still has more power. They say its to pay debt but then they take out more loans.

>> No.54187335

>>54187296
oh, trust me, he knows exactly what he's doing
also, inflation would get out of control anyway, staving it off is no longer an option
the end of the road has been reached, no more leeway to kick that can
now you'll see what happens when they take down the scenery, pull back the curtains, move the tables and chairs out of the way, and show you the brick wall at the back of the theater

https://youtu.be/OL766y0C95o

>Lie, cheat, deceive, connive
>Buy now, pay later
>Consolidate your loans
>Take more, give less
>Drive big
>Eat all you can
>Survival of the fattest
>Shock and awe
>Regime change
>Do as I say, not as I do
>Eye for an eye
>Free money
>If you fall over, sue the company
>Diminished responsibility
>Everything is acceptable as long as house...prices....don't.....craaash.......

>> No.54187361

>>54187335
Hmmm, so the Fed just wanted to speed up the process?

>> No.54187393

The two year treasuries tanked hard, pivot is just around the corner.

>> No.54187396

>>54187296
>>54187335
What would be the solution? Raise interest rates by 100bps and bankrupt the (((banks)))?

>> No.54187438

>>54187393
>pivot
more likely sit and watch. interest rates aren't going back down. the last couple of decades of 'free' money are over.

>> No.54187468

Why isn't the government simply burning money? Like what is stopping it from burning tax revenue or whatever other funnels it has to reaquire issued dollars

>> No.54187490

>>54187468
it spends more money than it takes in through taxes, they have to print money to keep the machine running

>> No.54187491
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54187491

>>54187438
Interest rate effectively went down with what the feds did. They gave the bank a year of protection from rate hike.

>> No.54187507

>>54187468
They were doing just that. QT is burning in shitcoin terms. Removing tokens from the circulation. Sadly, they can also mint because ownership is not renounced.

>> No.54187513
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54187513

>>54187491
how the fuck does that work?

>> No.54187534

>>54187361
they want full control over the process
it's a power move
just wait until you see their next one
>>54187396
the solution?
what is the solution to squaring a circle?
would raising the rates really bankrupt the banks?
who ends up with all the assets?
how can you bankrupt the ultimate bank boss that can create an infinite amount of money out of thin air to act as a "lender of last resort"?
https://mises.org/wire/fed-cannot-go-bankrupt-however-it-can-bankrupt-country
also, keep in mind that to curb the current real inflation rate, which is between 10-20%, the rate hike would have had to be 1000-2000 bps
can you imagine?
there can be no solution when the premise itself is flawed
lower interest rates: hyperinflation
higher interest rates: bankrupt country and the Fed owning everything
see, the fundamental problem is that both of these options operate under the premise of the Fed existing in the first place, and under that premise no solution can be had
the real solution is as simple as it is practically impossible unless a mass enlightenment occurs on this planet: returning to using sound money rather than money which can be created out of thin air at the whim of madmen, tyrants, and other power-hungry psychopaths
perhaps I might interest you in what the Bank of England openly admits about the current "monetary" system?
https://mises.org/wire/bank-england-money-creation-their-own-words
>>54187468
lmao
ever looked at what the government's budget is?
ever looked at how it compares with what they get in taxes?
well, I'll be kind and actually list those for you, I'm sure others will enjoy it as much as you, and that their minds will be greatly enlightened
>The budget total is $5.8 trillion for fiscal 2023, including $1.6 trillion in discretionary spending.
>In fiscal year 2023, the federal government has collected $1.73 trillion in revenue.
hmm, 5.8 seems a bit larger than 1.73, but my basic arithmetic skills are a bit rusty

>> No.54187540

>>54187490
Jesus Christ, why on earth has the world bent the knee to this bullshit currency that is the dollar? Who in their right mind would see this as an okay strategy to manage one's nation

>> No.54187574

>>54187534
consider a scenario of forceful acquisition of dollars by the government to burn its supply, would that give the current monetary systems a few decades more of life?

>> No.54187725
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54187725

>>54187574
and to pay back their debts too, including to the Fed?
at some point they'd have to rob the Fed at gunpoint and pay them back with the assets they'd just robbed them for
but this would still not cover all the debt, which is owned by both domestic and foreign investors, unless they rob the Fed again, give the assets to domestic investors, rob the domestic investors immediately, and then pay off the foreign investors with the assets, a lot of which are disgustingly overpriced in the first place
and after all this serial robbing you'd still probably be short a lot of "money"
might as well have the Treasury mint those infamous trillion-dollar coins at that point, and hand them out to everyone with a sincere note saying, "now I don't owe you anything anymore!"
I'm sure that would go down very well with all the involved parties
also, note how unfunded liabilities are several times the total debt, so no matter the route this ends up going people can probably safely stop dreaming of pensions and social security of any kind at this point

>> No.54188163

>>54187725
Newfag here, what you're saying is I just have to move to another country that doesn't use USD as their currency and then I'll be safe? I often see the phrase "pegged to the dollar" thrown around what's that all about? You say (((they))) want to control it all and I assume once they do they will finally cut back on spending? Or will they start "selling" the assets to their connections and the populace depending on how good of a goy you are? Idk seems kind of risky playing homelessness/starvation with a population of 300+ million with guns. Actually I can see how they can avoid all of that. (((They))) might play savior, abandon the dollar and start gibbing goyslop, shelter, and entertainment to everyone as long as you maintain good goy status. And then we're back to square one and you can start from scratch except with all of your previous assets and time stolen. However if this happens (((they))) will save themselves but will lose their grip on the world to the chinks. Maybe they accepted it already and are trying to salvage what they can?

>> No.54188275

>>54187540
Nukes, navy, army, bombers.
The money stands behind violence.
Government and Economy are the same. The literal two sides of a coin

>> No.54188290

>>54186192
>is it possible to taper a ponzi scheme?
no

>> No.54188359 [DELETED] 

>>54186192
This quantitative easing is to backup banks to avoid short term bank runs while the fed pursues more tightening. Futes have locked in a 25 basis point hike at 98% probability on the 22nd. They've promised to contribute up to $2 Trillion if necessary, but the bank failures actually wipe out the inflationary effect due to the fact that debt/deposit defaults collapse the money supply>>54186203

>> No.54188365

>>54186192
This quantitative easing is to backup banks to avoid short term bank runs while the fed pursues more tightening. Futes have locked in a 25 basis point hike at 98% probability on the 22nd. They've promised to contribute up to $2 Trillion if necessary, but the bank failures actually wipe out the inflationary effect due to the fact that debt/deposit defaults collapse the money supply

>> No.54188384

>>54186192
yeah. acceptance of CBDC's and synthetic USD = inflation controlled.

CBDC alone = inflation still
any crypto ban =inflation and wrecked economy BTFO
CBDC+Allowance of Synthetic USD+Crypto neutrality = Smooth recovering economy and USD hegemony


they also need to end the retarded sanctions against most of the 3rd world autocrats they've been bending over; specifically ending sanctions on Russia because it's crippling everything and is causing much of the inflation problem moreso than any covid spending does.

The fact they blame inflation on covid spending and not the ramifications of sanctioning Russia + forcing Europe to undergo sadomaschocistic economic policies is fucking the economy harder than anything covid did. Covid spending would of been copasetic if they had kept businesses open and not shut down international commerce.

>> No.54188451
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54188451

>>54188365
>but the bank failures actually wipe out the inflationary effect due to the fact that debt/deposit defaults collapse the money supply
This seems like a very short term effect though no?
>>54188384
So you're saying the fed needs to psyop some more shitcoins into existence?

>> No.54188482

>>54188451
kind of sort of, there's a few bits of legal minutae that needs to be settled but they really don't need to do anything. if they were to just allow organic growth and embrace a neutral attitude towards digital assets they'd stand to save their fake economy and retain global dominance. they'd also frankly would become the actual currency of most of the known globe, most countries would adopt USD derivatives for their currencies in lieu of whatever they use in the jungles of Central and South America.


do any people in the Americas use a digital peso? they use USDC, USDT, ect but not PesoDC.

>> No.54188550

>>54188365
Also, there is only 20 trillion dollars in m2 money, there's about 80 trillion dollars worth of iou's for households and businesses, which along with m2 is the actual store of value you need to think about when you are talking about inflation. If someone buys a car on credit that still strains prices, and it's still counted as income for the dealership.
Silvergate is dead, svb is dead, first republic is dead. Just because depositors are getting their money back doesn't mean those banks are going to be still in business. Yes, a lot of the deposits are being covered, but that doesn't include other financial obligations the bank had, their loans aren't being covered for instance, stokholders won't be compensated either. It DOES however mean people are pulling their money out of banks. Nobody is going to be holding more than $250,000 in a bank account if they can avoid it, i've been hearing people pull out millions last week just in local banks. I saw an old lady last week try to cash a check for 900 grand at a bank. The lower the reserves the less of your money the banks are able to loan out to other people in order to maintain capital requirements, get it? The money+debt supply is lowering

>> No.54188634

>>54188550
realistically it doesn't make sense why private banks still exists with the amount of government intervention and incentives it takes to keep them operating. a government agency that had a clear set of rules could do banking better and more transparent than private banking

>> No.54188687

>>54186859
>one should in fact stop for a moment just to appreciate the sheer deviousness of their money magic scheme
Silver magic

>> No.54188704

>>54186496
>and make sure never to collapse the wave function

kek, my side

>> No.54188795

>>54188634
thats probably where we are going to end up - a central bank issuing the pleb money and proper reserve banks in non fiat assets (gold/bitcoin)

>> No.54188812

>>54186192
Nope. It's going to crash.

>> No.54188822
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54188822

>>54186192
The banks are currently insolvent. It is so bad that even Credit Suisse had to be floated with 50 billion Swiss franks (this is the first indicator that things are FUBAR). Everything is being strategically hidden with paperwork and working around the Fed using FHLB government issued bonds as a temporary patch.
Also the FDIC does not have to pay anything back immediately (and literally cannot), and does not have to pay it it in a lump sum. Anyone bragging that they're "insured" is only correct from a legal standpoint (of which the law was formerly described above).

>> No.54188887

>>54186522
when exactly do consumers begin to feel the effects of this increase in the money supply leading to high prices? Meaning, the shop down the road raises the price of a loaf of bread from $1 to $2, right? Because the shopkeepers bills are going up, just like everyone else's bills. But when exactly, after the money in circulation has increased, does that price hike happen and how?

>> No.54188975

>>54186192
This current crisis may cause a deflationary blip, but in the medium to long term: no, its a rock and a hard place scenario.

There is too much of a debt burden on the economy, this has to be cleared and will happen either through a deflationary collapse, or an inflationary rebalance. As in depth or confusing any specific details can be, that is the general situation from a birds eye view. Society has lived beyond its means and has accounted for fictitious wealth based of resources that don't exist - the market will rebalance the supply and demand of these claims one way or the other.

>> No.54190042

>>54186465
>the cpi is a lie
THIS
Changes in CPI can show changes in inflation (M2), however, increased CPI due to example energy availability constraints is not real inflation and fighting it as such is retarded and will doom us all.

>> No.54191407

>>54186192
No
>>54186272
Because contracting money supply is a measure against inflation whereas expanding money supply is a contribution to inflation.
Very crude and basic explanation is more dollars = weaker dollar. Weaker dollar = something's value relative to dollar is increased.
You also have to understand that the only people who benefited from this bailout were the investors. The fed only wants it's inflation policy to harm average people not the big boys. That should give some insight as far as expectations but I don't want to go off on a schizo tangent

>> No.54191415
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54191415

So i just checked the numbers and for 100k loan and 1% increase in ecb rate increses monthly payment by ~52 euros. Meanwhile the real estate went up by 20% each year for several years now.

OH NO, my home value doubled but I have to pay 100-200 euroes more. ohhhh what a tragedy, what a tragedy :(

>> No.54191431

>>54186192
about as possible as becoming a woman by cutting your dick off

>> No.54191466

>>54191415
so what you’re saying is you live with your parents and have never paid for anything in your life

>> No.54191472
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54191472

>>54186755
>Our current financial system has no basis in reality and only operates on belief akin to the Greenskins Waagh reality magik from the warhammer universe

BRILLIANT!!
Simple, concise, and accurate.

>> No.54191530

>>54191407
expanding the money supply is not a "contribution" to inflation, it is literally the very definition of inflation, it is literally to inflate the money supply
perhaps what you mean to say is that inflation is a contribution to price increases
>The fed only wants it's inflation policy to harm average people not the big boys.
true for the "pump" move
but not for the "squeeze", when they want a lot of the "big boys" to piss their pants and get fucked too
see: >>54186859

>> No.54191537

>>54188822
Credit suisse isn’t as big as you think it is any more. They used to be a top 8 but Its like the #150 biggest bank in the world now or thereabouts. Smaller marketcap than Logitech currently.

>> No.54191550

>>54191415
yes, that increase in real estate prices sounds very sustainable
it will probably never crash, ever
see: >>54187335

>> No.54191581

>>54187259
thank you.

>> No.54191597

>>54191415
Ok, now try to sell it. Paper gains are cool until you have to cash out. Your house can be worth $50 million but unless you have a buyer it's not worth anything.
Thats an extreme example but the point is that regardless of what price and interest rates do, all that matter is what it's going to cost the next buyer who is probably using a loan. Right now where I live it's like $3,500/mo after a $100,000 down payment to live in a regular ass 3 bedroom. That's dumb as fuck and fuck your equity because you can't touch it and your payment schedule is vast majority interest in the beginning.
There's nothing wrong with home ownership but the mental gynmastics people use to justify outrageous prices at the top of the market as a smart investment only show their lack of financial savvy as they are the equivelant of people who bought $50k bitcoin and bragged about it going to $60k except it's real estate so you stretch that time between $50-60k that took a month or two into like 5 years.

>> No.54191600

>>54188887
You have to remember that all printed dollars don't necessary lead to US inflation as the majority of the world needs dollars to buy oil.
If the BRICS finally release their supranational currency, then all of the current happenings will be nothingburgers in comparison.

>> No.54191676

>>54187540
In other news, those who are considered smart say everything is as it suppose to be. Those that oppose status quo are ostracized.

>> No.54191764

>>54186378
Yeah but covid+putin's aspie invasion has clusterfucked the whole economy since governments were forced to choose from printing a fuckton of money to save people from bankruptcy or don't and let the weak die and hopefully this not meaning a total clusterfuck by itself

However, we have to maximize the things we can control and minimize the things we cannot control, which leads you to ask: what the fuck do we invest in in times like this?

Gold is manipulated as fuck
BTC will get banned because they will be mad too much money is going there for something that is "bad for the environment" and produces nothing and it's outside of their reach (but they can and will bank fiat onramps crashing the price)
So what the fuck is out there?

The SP500 is going to crash as it should or it will be used as a store of value even on a recesion?

If rates are going to pivot, wouldn't that mean money is going to be more accessible again thus making the SP500 go up?

>> No.54191783

>>54186192
short answer: yes

long answer: yes but also no. if your bailout just sits on balance sheets and doesn't necessarily circulate the market, core cpi should continue to fall as it has been, at some point ideally stabilizing at that comfy 2% target. but the long term consequences of de-risking banks means financial entities playing faster and looser with their and other people's assets. this results in a feedback loop of perpetual QE where inflation inevitably grows in certain avenues, like real estate. this is how you end up with the least ideal "ideal" scenario where the dollar is stable, the banks are solvent and the line keeps going up, but for some reason you can't afford shit in spite of that 2% yoy cpi
>>54186496
this is a great analogy actually, its schrodingers inflation

>> No.54191940

>>54186859
>not just real wages, meaning that even people with something as ridiculous as fixed-rate zero-interest loans can get fucked
This is why retards that think they are lifehaving by being overleveraged on fixed mortgages while laughing at people that choose renting with no debt will pay the tard tax

>> No.54191969

>>54187035
So this means SP500 is a good investment?
Everyone is talking theory but not practice. Let's get to the basics. Where do we allocate money to profit or at least not lose your savings?

>> No.54191984

>>54191764
>covid+putin's aspie invasion
The invasion itself did very little, it was western governments trying to collapse the world's biggest commodity producer through sanctions that really fucked things up. Conflating the two is the mistake they want you to make.

>> No.54192009

>>54191940
>greetings, Wagie McWageslave, we see that your mortgage payments are $1500/month, but that you're only earning $1000/month at this time, and so we regrettably have to inform you that we will have to foreclose on your home, please be out by next Monday or we will have to send the polce
>thank you for your understanding, kind regards, Bankstein Goldberg

>> No.54192016

>>54186272
money goes up.

>> No.54192052

>>54191969
>So this means SP500 is a good investment?
was the stock market a good investment in 1929?
>Everyone is talking theory but not practice.
plenty of people are talking practice
>Let's get to the basics.
great, let's do it
>Where do we allocate money to profit or at least not lose your savings?
there are only really two major ways:
1) precious metals
2) dividend-yielding stocks in businesses producing essential goods in foreign markets with minimal exposure to US and European markets

>> No.54192157

>>54188163
So where are you going to move?
Rusia and China have even more fake data due them being a totalitarian regimes, there is no 3rd party inspections

Switzerland may be the best place I can think of.

However what should be done inmediately is where do you allocate your funds, we live in an internet era where you can do this online.

>> No.54192186

>>54192052
>was the stock market a good investment
Index investing didn't exist at the time. If it did then yes because the banks all collapsed and owning Gold was literally illegal. Your only other option was bonds.

So yes staying in the market was unironically the best option. All said and done.

>> No.54192219

>>54186192
Yes, but the serfs will get anally raped.

>> No.54192229

>>54192186
>Index investing didn't exist at the time.
irrelevant
>If it did then yes because the banks all collapsed
those funds would all have crashed along with the rest of the market
>and owning Gold was literally illegal
lol
lmao even
it'd be a shame if you were to...hide it somewhere safe
>So yes staying in the market was unironically the best option. All said and done.
wrong
the best option then is exactly the same as now:
>1) precious metals
>2) dividend-yielding stocks in businesses producing essential goods in foreign markets with minimal exposure to US and European markets
you're lucky that 2 is more accessible to you, but you should really get as far away from the US as possible if you still live there

>> No.54192238

>>54188384
It makes 0 sense. Why would they allow BTC to roam freely? it will outperform their assets, a lot of money that could be on their stuff will be allocated there. I don't see a scenario where governments are friendly to BTC (when you say crypto, I say BTC because cryptos are a fucking joke, at least BTC has a fuckton of hashpower and an huge network effect, however 2 things they can cripple by baning fiat onramps and any purchases made from gains that are coming from it). And countries that may want to remain neutral will get sanctions forcing them to stop being neutral. This is why I don't invest in BTC, there is no realistic scenario where they will allow it at least long term. You may be rich but not able to convert it into anything tangible.

>> No.54192242

>>54186448
The US is still cheap housing wise on a global scale.

>> No.54192261

>>54192238
ALSO: they will not lift ban on russia, they cannot be weak with Putin otherwise it would mean they have been defeated and expansionist dictators can freely invade other nations with no consequences, they are FORCED to keep pushing one way or another.

>> No.54192275

>>54192238
BTC is totally dysfunctional, you see the mempool start ballooning even now, at the slightest hint of worry
if people were to try to flee into it en masse, the network would grind to a total halt with $1000 tx fees
all crypto suffers this same problem, because the only way to achieve higher throughput is by sacrificing decentralization, and at that point you just become a bank or payment processor, since those central nodes become vulnerable to government force and control
so the truth is sadly, and many people here obviously don't want to hear this, not even remotely a viable option
perhaps there will exist some functional form of digital peer-to-peer cash in the future, but it has not been invented yet

>> No.54192282

If you are the global reserve currency then money printing literally doesn't matter. DXY was at 20 year highs in 2022 and is still high. This is despite trillions in printing.
90% of the world trades with dollars. Want food? Pay in dollars. Want oil? Pay in dollars. 3rd worlder wants to build factory with cheap interest? It will be priced in dollars. How do they get those dollars? By selling their local currency for USD.
When the fed prints, it's printing for a global economy. The USD overseas demand dwarfs the domestic US market.
Other currencies would hyper inflate long before USD. And during an overseas currency crisis the dollar would actually go up as capital flees to the US.
There is no scenario where the USD hyperinflated suddenly while the rest of the world is ok.

>> No.54192293

>>54192282
>oh no, we no longer have to give the US real good in return for toilet paper!
>anyway...

>> No.54192305

>>54188550
>. Nobody is going to be holding more than $250,000 in a bank account if they can avoid it, i've been hearing people pull out millions last week just in local banks
WHERE is this money going?

I have 400k in 2 banks (euro), I was waiting for an actual SP500 crash and BTC crash but these prices are still retarded in my book hence why I stay on cash and I don't get barely any money back from my deposits but I don't want to be holding an asset that should crash to at least pandemic crash levels.
So what the fuck do you hold now?

>> No.54192340

>>54192305
>WHERE is this money going?
cash (bills)
foreign banks and foreign stocks
precious metals
real estate
other real goods

>> No.54192387

>>54188550
>It DOES however mean people are pulling their money out of banks.
>The money+debt supply is lowering

Kind of. Billionaires at SVB transferring their money to JPM does not affect the banking sector as a whole, money just moves from one bank to another. But people have started moving large amounts of money from the banks to treasuries because higher yield and lower risk. That might hurt the banking sector in the longer run.

Money supply going down is the real important part. That means bankruptcies and oncoming deflation. People are talking about the government printing money which is absurd. The vast majority of new money for decades has been created by private banks. Money creation has been outsourced to the private sector. With banks under pressure credit growth will drop and money supply will keep going down. Bad credit will get cleared from the system either through bankruptcies or a prolonged period of extend and pretend zombie companies.

>> No.54192415

>>54192293
Try and leave a Chinese airport with any amount of 'toilet paper' USD and they'll confiscate it.
They have trillions in USD loans that they need to service. And they can't wipe out the loans because they are from their own domestic banks. If they dumped the dollar they would literally be cancelling the wealth of their own country.

You don't have to like the dollar reserve status, but you do have to accept and respect it.

>> No.54192418

>>54192340
So... Invest in oil?

>> No.54192439

>>54186522
cool it with the antisemitism

>> No.54192445

>>54192305
>>54192340
from 3.5 years ago, before the banks started buckling and a scamdemic was hoisted upon everyone to cover it up:
https://youtu.be/3WclYu5l4G0
>"I went to see a pension fund in Europe not so long ago, and I said:
>«Good morning, sir, how are you?»
>«Terrible.»
>«Well, I'm so sorry to hear that; what happened, did your wife die, or has your child been taken into hospital?»
>«No, no, no, no. I know that I have about 8 billion Swiss francs of assets...but with the 10-year Swiss government bond at minus 50 basis points I don't know what my liabilities are, because how can you discount by a negative risk-free rate? It's mathematically impossible, you can't do it.
>Tomorrow I'm going to go to the board, and I'm going to suggest that we take all our money out of negative yielding bonds, and hold physical bank notes in a bank vault at the bank down the road, so that we can pay our pensioners out of physical cash, because at least physical cash maintains its value in nominal terms.»"
>>54192415
that reserve status has been circling the toilet drain for decades
it's about to say "plop"
deal with it
>>54192418
probably a good bet for now, producers outside of the US and Europe of course, with minimal exposure to US and European markets

>> No.54192473

>>54186192
yes.
to fight inflation, you simply order the treasury to stop issuing new debt. these days, the president can do this because nobody cares about the law. he can also just veto every spending bill, so that the government cannot expand its budget.
bank bailout money doesn't have to come from new treasury debt, or from the fed. the government has the power to levy taxes, and it can choose to spend those on bailing out a bank -- effectively nationalizing it, even if only temporary.
anyone who tells you otherwise is an idiot or operating on the assumption that government spending will, or should, increase forever (also an idiot).

>> No.54192507

>>54186415
Do Banks need depositors? Cant they just stop accepting deposits while lending out as much money as they want?

>> No.54192520

>>54192009
>greetings, McCuckgage Faglord, you have been fired, your only job options are lightyears from here, get your ass ready to commute all day in order to pay for your cuckgages or file for bankruptcy

>> No.54192531

>>54192445
>>>54192415 (You) #
>that reserve status has been circling the toilet drain for decades
>it's about to say "plop"

I wish that were true, but it's simply not. The Chinese may want people to use Yuan, but wanting something is very different from being able to do something. Try and convince India to use Yuan. Try and convince Europe to use Yuan. The world is broadly happy with USD. That is why USD is high. People trust it.>>54192439

>> No.54192562

>>54192445
Reserve status is linked to Military Superpower status. Only way USD goes down is if US loses a war

>> No.54192580

>>54192531
>People trust it
gold does nothing yet the spot price has appreciated at a compound annual growth rate of about 8% every single year since 1976

>> No.54192616

>>54192052
>1) precious metals
Gold is manipulated and silver sucks
Also commodities are volatile as fuck
Also Putin could troll the world by going long on anything that it's expected to act good in environment, only to go stop the war at any moment and become even richer, this is unlikely but who knows, white swans happen too.

How do you see BTC performing before they ban it? there may be room for another ATH

If I were to go all in on BTC with 400k and sell at a new ATH, I would pretty much retire. However it's retarded the idea is since exchanges become hacked all the time and even if you save it yourself something could go wrong as well. Even experts get hacked. I read the other day some expert called Luke Dashjr got millions hacked.

>> No.54192628

>>54192562
>Only way USD goes down is if US loses a war
wrong.
if it cannot fight a war, and fails to project power, because it is financially cucked by its own dumbfuck fed, then the petrodollar is quietly and orderly replaced by market forces with the reserves of the other commodity superpowers.
no matter how much of a clusterfuck russia or china is, little tiny neighbors will trade with them for the things they need to continue their progress from emerging to developed nations.
destroyed finances means no military force projection. stop watching movies and actually read what generals have written for centuries. "an army marches on its stomach."

>> No.54192647

>>54192562
I partly disagree. The US didn't win Vietnam, didn't win Afghanistan and might not win in Ukraine. None of these things have dented or would dent their reserve status. USD is still used in 90% of global trade. Russia even had to scramble together USD for their debts at the start of the war.
The USD will fail eventually, but there's no alternatives on the horizon for the foreseeable future. We could have 50 years left of US reserve status.

>> No.54192675

>>54186192
https://www.youtube.com/live/HgSBEN2EPQ8?feature=share
Skip to 2:15 and listen from there. Dude has spent 15 years setting his bank up to profit from the collapse of the dollar and his bank got 5-eyed 9 months before the big bang was set in motion. Now all he has left is podcasting.

>> No.54192678

>>54192580
Ok, but that doesn't make gold a good reserve currency does it. Nobody is about to switch back to a gold standard. The fiat system provides superior control and that's why governments would never go back, even if they had a currency collapse. They would just issue a new fiat and start again.

>> No.54192683

>>54192531
yes, the current state of the US and European financial markets just oozes and radiates happiness and trust
fact is: the reserve status of the dollar has run its course, and these are its final death throes
>>54192562
the US will be the ones having to instigate such a war, because other world powers will stop treating the dollar as reserve currency
the only thing keeping the dollar as a reserve currency is literally the threat of starting WW3 if other nations don't keep giving them goods for toilet paper
such a state cannot last, at some point the child will have to throw its tantrum or deal with it
>>54192616
>manipulated
irrelevant to the way precious metals retain value over time
>How do you see BTC performing before they ban it?
no one will have to ban BTC
BTC will see a huge price increase as people move into it en masse, at which point the network will totally collapse because it can't handle any significant throughput whatsoever, and then it will crash to near 0 with no survivors
this will happen all on its own
also, keep in mind that while this happens, there's zero way to get any value out of that crypto, because the banks will be failing
you'll end up holding empty bags and not be able to do anything about it
so yes, as you recognize, going into BTC (or any crypto) is indeed retarded, as you so adequately put it
>>54192628
exactly

>> No.54192709

>>54192531
>Try and convince Europe to use Yuan
Europe uses the Euro, you moron

>> No.54192714

>>54192229
>it'd be a shame if you were to...hide it somewhere safe
Right so now you are rich in some shinny gold you cannot exchange for anything tangible.
Same as cryptofags that think they will not ban it (and that is assuming the price doesn't crash on black markets too)

>irrelevant
How? something like the MSCI World invests in several places in several sectors at once. Sure you would suffer the clusterfuck but I cannot think of a better place to be. Also if you are DCAin you are buying the bottom as well since it's impossible to time the bottom, and you will also risk getting your shit trapped along the way. For instance cryptofags trying to time the market going into BTC now to surf this banking panic crisis could end up with their assets trapped in these shitexchangers, or even worse lose them when going in and out from shitxchangers to wallets. And we are assuming BTC is suddendly a good hedge for a banking crisis when the only reason it may be dumping may be due the marketing considering the rate hikes are over and dumb money is going to create a new shitcoin bubble + temporary speculation.

>you're lucky that 2 is more accessible to you, but you should really get as far away from the US as possible if you still live there
BRICS are shitholes worse than US and EU, they are faking data and proping their economy even worse.

>>1) precious metals
Not a store of value, check the charts, wouldn't be confident sleeping on precious metals vs MSCI which invests in more stuff than just thinking you are a wizard of marketing timming by going 100% precious metals (or adding in emerging markets to diversify because you think chinks and russia or whatever other shitholes are better than US and EU)

>> No.54192752

>>54192683
>yes, the current state of the US and European financial markets just oozes and radiates happiness and trust
>fact is: the reserve status of the dollar has run its course

Compared to the rest of the world, the US is the most attractive market. The most stable. The best for sustainable growth.
You want to go invest in Yuan and rubles right now? Good fucking luck. Russia has a 50/50 chance of having a catastrophic failure due to the war and china has to hush up economic data because things are so dire with their debts and demographics.
In times of crisis, capital flees to the states. That is why DXY mooned in 2022.
Listen, I would love for America to collapse and be weak, but that simply isn't the world we are living in.

>> No.54192768

>>54192709
They do domestically, but their imports are mostly priced in dollars.
Domestic currency =/= your international trading currency. Pick up a freaking book.

>> No.54192795

>>54192714
>Right so now you are rich in some shinny gold you cannot exchange for anything tangible.
better than holding empty bags that are worth $0 forever
and no, precious metals are not comparable to crypto, because the former retain their value over time no matter how much government makes them illegal to own, while the latter is inherently dysfunctional and will crash all on its own
it's obvious that you don't understand precious metals when you talk about "buying the bottom" or "risk getting trapped"
precious metals are not something you daytrade
>BRICS are shitholes worse than US and EU, they are faking data and proping their economy even worse.
plenty of places outside of the US and Europe have financial markets that are still functional

>> No.54192802

>>54192275
If fees are $1000 then the price would be massive, not a problem

The real problem is they can crash the price by going real nazi/commie on fiat onramps, they could just ban exchanges and suffocate holders, now they are trapped with 0's and 1's you cannot exchange for anything relevant just like goldfags would be trapped with shinny rocks and so follows.

>>54192340
Cash deposits aren't paying shit so you get fucked by inflation
Foreign banks and foreign stocks, which ones? and why do you assume they are more solvent than US and EU anyway. You are safer in a bank like BoA in US or BBVA in Europe than in some BRICS clusterfuck or similar.
Precious metals already discused, this is dangerious market timming, things change fast and now you are bagholding the thing.
Real Estate is already bubbled as fuck
Other real goods are also crazy market timming

My conclusion once again is that MSCI type of indexes are the only safe bet. If you want to make more money you are going to need higher risk but at least im not risking an insane amount with that type of index in terms of losing your money due a banking crisis, being a bagholder of because of bureocracy/bans on assets, getting clusterfucked by black/white swans.

Im actually considering MSCI as a safe storage and BTC as a retard try to get rich quick bet because I think the panic is goign to make people think (again) BTC is a good idea while not considering they can crash the price at any time due a ban on exchanges.

>> No.54192867
File: 375 KB, 1200x1200, 26591.jpg [View same] [iqdb] [saucenao] [google]
54192867

>>54192768
Stupid motherfucker

>> No.54192888

>>54192752
>Compared to the rest of the world, the US is the most attractive market. The most stable. The best for sustainable growth.
not even remotely true
>You want to go invest in Yuan and rubles right now?
no
the only foreign markets I'd invest in would be stable and sustainable ones
>Listen, I would love for America to collapse and be weak, but that simply isn't the world we are living in.
it's exactly the world we're living in
better get used to it
I would recommend getting far away from the US
>>54192802
>If fees are $1000 then the price would be massive, not a problem
wrong
you don't understand the limitations on throughput
>Cash deposits aren't paying shit so you get fucked by inflation
which is why I didn't list cash deposits
>Foreign banks and foreign stocks, which ones?
already wrote that above: dividend-yielding stocks in companies producing essential goods, like food and energy
as for banks, primarily in places with minimal exposure to US and European markets, as well as minimal exposure to conflicts
South America, Southeast Asia, India and surrounding areas
>You are safer in a bank like BoA in US or BBVA in Europe than in some BRICS clusterfuck or similar.
imagine believing this
>Real Estate is already bubbled as fuck
I'm obviously talking about real estate in those same foreign markets as mentioned above
you should be getting out of the US and Europe

>> No.54193001

>>54186192
If you bail out the depositors but not the stock holders, yes. However, it would be faster to just let the depositors go under too.

>> No.54193374

>>54186192
Yes, but it requires raising interest rates even higher than anticipated

>> No.54193506

>>54192616
Luke Dashjr got hacked because he basically was storing his keys on an internet connected device.

>> No.54193670
File: 69 KB, 720x960, 1555962635448.jpg [View same] [iqdb] [saucenao] [google]
54193670

>>54186540
>>54186522
On the flip side, the money being loaned to the banks is being used to cover depositors attempting to withdraw, most of which will probably just be moving that money to larger banks. This money won't directly be going and bidding up prices in the sense that traditional QE would... overall lending conditions and credit expansion will be tighter than before. The action is ultimately "dis-deflationary" rather than directly inflationary, and simply greases the track for banking system consolidation.

This doesn't change the fact that everything is still backed by the money printer, and I do think the Fed will ultimately be forced to do a real pivot into technical QE.

>> No.54193747

>>54192867
>majority is still USD
Did your parents drop you on your head as a child? You do understand the USD is not traded with more because of "free market" hocus pocus, but rather because it was decided that USD would be the world's leading currency after WW2.

>> No.54193770

>>54186971
>authenticity
Thet have to know. There's no way.

>> No.54194084
File: 14 KB, 256x256, download (21).jpg [View same] [iqdb] [saucenao] [google]
54194084

>>54186366
Why doesn't the government just bail out the banks using the money in their own bank account?

>> No.54194359

>>54187725
this 100 percent, every time I try to explain to normies that its bullshit that I have to pay into a pension plan because its not going to be there in the future, they get emotional angry and start giving me the fluoride stare.

>> No.54194372

>>54188163
buy gold and silver, wait for hyperinflation. Then buy woman, land, and everything you want with your precious metals when people are looking for a safe haven.

>> No.54194400

Yes

>> No.54194425

>>54186192
In the Keynesian model, no. In theory goods should be getting cheaper with technology with and time but Keynesians must slobber the ol' gubmint knobber. At peak capitalism in the gilded age, the price of most goods was ridiculously cheap compared to today.

>> No.54194444

>>54186192
impossible

>> No.54194508

>>54186192
how high do you want you taxes?

>> No.54194639

>>54191764
>Yeah but covid+putin's aspie invasion has clusterfucked the whole economy since governments were forced to choose from printing a fuckton of money to save people from bankruptcy or don't and let the weak die and hopefully this not meaning a total clusterfuck by itself

the weak are already dying inside by paying rich cunts rent because they can't afford the roof over their head. Yeah i'm poor and stupid so i'm suppose to be permanently raped by the state on top of that ?

btw, serious question(srls interested cuz it's my future by the looks of it), what happens to all of em when they reach can no longer work productively age ? just go and die behind dumpster ?

>> No.54194721
File: 160 KB, 1716x939, Screenshot 2023-03-18 at 20-00-45 Stocks vs. Gold - 126 Year Chart Longtermtrends.png [View same] [iqdb] [saucenao] [google]
54194721

>>54192683

Gold has been sucking vs solid broad indexes when people had access to them easier which coincides with the rise of the internet on that chart as you can see staring around mid 90's.
Silver is just a joke at this point.
Sure gold outpetformed the SP500 from 2008 to 2013 but even then you could just have used that as discount to DCA in throught the way up and beat gold eventually.
Silver barely beat it, just had some weird pump and dump probably due people pannicking as they are now.
I don't see how these are better investments than the MSCI World index throught a solid company like Vanguard.

>> No.54194780

>>54192795
Your physical gold may be valuable on black markets but crashing in price if governments have banned it.
If you could get something out of your gold elsewhere, you would need to flee out of your country carrying all of your gold throught borders without getting it confiscated, good luck with that.

>> No.54194863

>>54192888
>you don't understand the limitations on throughput
There are no limitations, people just get priced out of using BTC because fees wouldn't allow them to do so. However those that can afford to use will use it. BTC technically works pretty good, if a lot of people used it, it would be slower, more expensive, but it would move tons of money from A to B eventually, the problem is it's delusional to think you can exist in a physical world without governments, there will always be governments and if they don't like your shitcoins you have a problem there convering them into anything tangible, thus why I don't see it as a safe long term investment.

>South America, Southeast Asia, India and surrounding areas
imagine believing their banking is safer than top US and EU firms, you are are obviously high on american hate copium lol

>> No.54194879

>>54193506
source?

>> No.54194886

Based thread. Don't you think they will crash the markets, buy low, then inflate? Makes sense so their friends get richer.
I also have over 20k € in a bank, should I move more to crypto? Goymany btw.

>> No.54194955

>>54194639
The money printing was made to not bankrupt (even more) stuff when the lockdowns happened. It was a short term relief, and hoping it's a good long term investment so when the lockdowns finished there would still be busineses around to restart the economy and eventually pay out the debt. However as we can see this had consequences in terms of inflation, and now they have to choose, if keep raising rates and clusterfuck some banks and businesses around as well as particulares on mortgages and in various debts, or start lowering rates, which the market will interpret as the worst is over and hopefully not cause a new wave of more inflation.

>> No.54194979

>>54194721
>buy Vanguard
>don't buy silver and gold
>silver is just a joke
lol
lmao even
>>54194780
>don't move to safe countries before buying previous metals
lol
lmao even
>>54194863
>only the top 0.001% richest people in the world can actually use the BTC network for anything
>"BTC will totally retain its value regardless, trust me bro"
lol
lmao even
>BTC technically works pretty good
>laughinghysterically.gif
>just embrace governments bro, someone will always be there to extort you
lol
lmao even
>worry about government trying to take your buttcorns, but not the networks themselves being totally dysfunctional and having zero ability to be used in any meaningful capacity
lol
lmao even
>imagine believing their banking is safer than top US and EU firms
>top US and EU firms
>topkek.jpeg
oh well, I've given you all the advice you could ever have asked for at this point
at this point you'll have no one to blame your own failure on but yourself
enjoy hanging out at the epicenter of the financial collapse as it rapidly turns into a dystopian nightmare

>> No.54195035

>>54191415
And what if needs to go to 5% or 10%? You're essentially bragging about your low rate payment while rates are low.

>> No.54195094

>>54186522
So are you saying that they are still sitting the money supply by first giving money to the most degenerate of their rough friends that "donate" to them, while simultaneously effectively raising interest rates on everyone? The banks may appear to be in trouble, but at the same time it seems like a win-win for them if you ask me.

>> No.54195110

>>54195094
https://youtu.be/Nyvxt1svxso

>> No.54195170

>>54186192
How much worse do things have to get before the Second Great Depression is officially declared?

>> No.54195179

>>54186522
yup. This is why gold is going so high. This bailout means lots of new inflation. We reached the all time high in gold price in Canadian dollars (my currency) on friday and I predict easily another 10% spike in the next two weeks.

$3000USD gold by January 2024

>> No.54195201

>>54195179
There is no banking crisis though. This is social media hysteria

>> No.54195238

>>54192238
BTC is allowed by the US gov and even hyped up because BTC draws investment dollars away from real gold to digital gold since high gold values show inflation and moving money away from gold hides inflation. BTC prevents hyper inflation of USD by making gold seem weak.

>> No.54195282

>>54195201
big banks failing in the country holding the reserve currency is a crisis.

>> No.54195389

>>54195170
they will just pull money from your bank account before that happens

>> No.54195452
File: 2.60 MB, 640x412, laughing-hysterically-cant-stop-laughing.gif [View same] [iqdb] [saucenao] [google]
54195452

>>54195201
>There is no banking crisis though.

>> No.54195456

>>54195170
it will never happen because the precedent has been set that all definitions are subject to change on a whim. what would be classified as an economic depression today might not be tomorrow, and so on

>> No.54195515

>>54195170
A republican has to be elected president before they will even officially recognize it as a recession.

>> No.54195653

>>54186192
Yes, it is possible, but only if the money is very strictly limited to making depositors whole. No more than that. If any bailed out bank is allowed to use the funds to pay out bonuses, lend, or invest then it will be inflationary.
An increase in money supply isn't automatically inflationary. It just usually is because it is always used to increase economic demand.
Not saying this time is different, just that allowing the banks to fail but covering the depositors with new money isn't, in and of itself, a major setback for controlling inflation.

>> No.54196999

>>54188384
>CBDC alone = inflation still
No? The whole idea behind CBDC is programmable ie you can control the supply (inflation/deflation) with a press of a button.
Crypto is irrelevant to CBDC since it's not legal tender but CBDC is.
I have no idea what " Synthetic USD" is.

>> No.54197017

>>54188384
Also, please write "covid" in quotes. Let's be adults here.

>> No.54197046

>>54192242
It's not. Anywhere worth living it's at the top of the global charts.

>> No.54197086

>>54186192
> Is it possible to fight inflation and bail out banks at the same time?
I have no idea what these things mean. The FED (or any other central bank) is not there to look after your interests (regardless what they write in their mandates). Their purpose to serve the interests of the global banking cartels (BIS).

>> No.54197116

>>54195653
>It just usually is because it is always used to increase economic demand.
Demand for what? It depends where all the new money is going, and it's usually not productive economy.

>> No.54197712

>>54194425
the gilded age wasn't called that because it was good anon

>> No.54197760

I hate how there HAD to be meetings where they all sat at a desk and the faggots were like, "Well if we just take as much risk as possible, it doesn't matter because they will bail us out if we fail." and that failing is literally a part of their plans to make more money at the expense of the normal citizen. Those people need to die horrendously.

>> No.54198466

>>54186192
Fractional Reserve Banking means banks can lend out more money than they have in deposits. It probably deflates the economy when bailing out banks because the only assets coming out of it are customer deposits.

>> No.54198955

>>54198466
>Fractional Reserve Banking
We don't have this system though. It's a myth. Banks do not lend out deposits.

>> No.54199150

So I get that a ton of extra money in the system leads to increased prices on things like houses, cars, etc. Or even firearms, the MSRP on my cheap taurus revolver has gone up nearly 40% since 2020.
My question is this. What mechanism leads to the price of food skyrocketing? Are us poor folks competing with the elites who got most of the free cash for bread and eggs? It sure doesn't feel like any extra money is tricking down.
I was also under the impression that the US government heavily subsided grain production to prevent exactly this kind of thing from happening?

>> No.54199184

plot twist: op is actually jpow and is fishing /biz/ for a strategy

>> No.54199236

>>54186496
a schrodinger economy

>> No.54199299

>>54199184
lol.

>> No.54199309

>>54194979
>>don't move to safe countries before buying previous metals
The only safe countries are inside USA and EU mostly. Holding metals in other places has a bigger risk than the government.
>only the top 0.001% richest people in the world can actually use the BTC network for anything
This is like complaining a restaurant is very crowded and has raised rates to enter, yet it's stil very crowded and you call it a technical failure
BTC will crash because they will fuck up the onramps, it will be valuable on the black markets, but I don't care about black markets, I want nice houses, nice cars, a good life quality,, im not some aspie frugalfag that wants a lot of money in 0's and 1's you cannot use for anything relevant.
>>imagine believing their banking is safer than top US and EU firms
More lol and keking while not providing any specifics. Where do you live and where and how do you do your banking to feel so confident to laught at US and EU banking? Sounding like a LARP now.

>> No.54199368
File: 18 KB, 725x403, 587586457243532.png [View same] [iqdb] [saucenao] [google]
54199368

>>54198955
>We don't have this system though. It's a myth. Banks do not lend out deposits
I HATE THE ANTICHRIST

>> No.54199402

>>54186448
Inflation is stable if you ignore housing, food, energy prices, education, transportation and all the other stuff you dont need..

The good news is televisions are now cheap

>> No.54199404

>>54186397
They printed trillions because Boomers are braindead cash horders. Now Boomers are geriatric and everyone thinks cash is trash.

>> No.54199415

>>54199150
Putin thinking he's the second coming of Julio Cesar the god emperor and going on an invasion adventure surely has to do with commodity market being a clusterfuck. Just think about all the chain of production involved: electricity for the farms, gas to distribute the food and machinery involved and so on. And many spices come from Ukraine. And no NATO couldn't just sit there and do nothing while they invade an European country so inb4 tards shouting it's not Putin but the sanctions.
This coupled with the lockdowns insanity has speed up inflation.

>> No.54199471

>>54199415
Inflation has nothing to do with the Ukriane war. Oil prices were higher before that even started

>> No.54199482

>>54192867
this graph is why they wanted ukraine war so hard.

>> No.54200278

>>54194084
Because they have trillions in liabilities and no cash. At all.

>> No.54201584

>>54186192
Give them hold-to-maturity liquidity instead of forcing mark-to-market on underwater bonds?

>> No.54201642

>>54186192
>Is it possible to fight inflation and bail out banks at the same time?
No. To bail them out you need to print and the whole reason they need a bailout is because they printed to much already. If they print and raise rates the banks crash, if they print and don't raise rates the banks crash, if they don't print and raise rates they crash the banks and if they don't do either the banks crash. They have entered a death spiral and unless they do mass crypto adoption over the next months it's over.

Banks are experiencing runs because people need to pull out more cash to pay even for the basics; either their mortgages (rate rises) or food,gas etc (inflation) and they have to choose either of those two things. The housing bubble is going to burst as people choose food like they always do and when they sell their houses in a market over flowing with everyone else doing the same thing they probably won't even get back 10% of what they originally paid for it and banks will go under because they over valued their assets (mortgage debts)

>> No.54201664

>>54194879
He said it himself on his Twitter feed. You think someone hacked sha256? Lol