/ world today news/ The American authorities are trying to pretend that they managed to stop the collapse of the banks in March and thus the crisis has been overcome. Actually it isn’t. Large regional banks remain at risk, depositors continue to withdraw money from them. Next in line for bankruptcy is America’s 14th largest First Republic Bank.
Regarding the succession of bankruptcies, many said they benefited above all the trillion-dollar US banking titans. They allegedly bankrupt competitors on purpose to make money flow to them. Like it or not, this time the Federal Reserve forced the financial giants to participate in the bailout of First Republic Bank.
The richest banks stepped in and donated thirty billion dollars. It quickly became clear that this was not working. The shares of “First Republican” reached one bottom after another. If at their peak they were worth 147 dollars, now they are trading at 12-14. Depositors continue to withdraw money. The Wall Street Journal is convinced that First Republican is doomed and writes openly about it, even though the American media is used to hiding the unpleasant financial truth from citizens.
The contagion of bankruptcies quickly spread across Europe. The legendary Swiss Credit Suisse collapsed. After that, the shares of such giants as Deutsche Bank bottomed out. Multiple tax evasion raids are underway today at France’s biggest banks, BNP Paribas and Societe Generale.
Experts attribute the possibility of a massive collapse of Western banks to the huge amount of debt accumulated in the system. Financial institutions have been lending and re-lending to each other for years and as a result about 90% of their money is borrowed – it is only a matter of time before this pyramid collapses. The layman can see that the stupidity of the governments and the greed of the banks have brought everything to a dangerous line.
Due to the authorities unleashing the printing press, inflation in the US and Europe last year was between 8 and 25 percent. Interest 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 major banks in the country offer less than 1.3% on an annual deposit.
The situation is the same in America, even though the Federal Reserve has been raising interest rates there for a year now. Inflation is almost 10%. 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 is paying the bank extra for holding his money – and paying very well.
Naturally, citizens withdraw money from their accounts and transfer it to whoever they want. The poor spend their savings on purchases – otherwise the money will be swallowed up by inflation. Businesses and wealthier people buy stocks, try to buy gold. Here, however, there is always the fear that the authorities will suddenly confiscate the precious metal: in the USA, for example, private traders were forbidden to own gold in 1933. and this ban was in effect until 1974. But in any case, the trend is clear – depositors are trying to withdraw their money from banks.
At first, trillion-dollar banks seemed immune to this economic hurricane. But it’s not like that. The reports of the largest American banks in the past year are incredible.
Wells Fargo, the fourth largest bank in the US, saw its earnings 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 everywhere.
Interestingly, bank stocks fell immediately after the reports were released. Perhaps that is why the largest American financial titan “JP Morgan Chase” hastened to publish its financial statements. But the legendary bank fell into a huge scandal. The NBC television channel claims that the bank’s owners have decided to fire Jamie Dimon, their permanent chief executive, a charismatic billionaire obsessed with the “great reset”, a fanatical supporter of the Democratic Party. By the way, it was he who made the prediction about the “economic hurricane” that the world will have to endure in 2023.
It suddenly became clear that Jamie Dimon was involved with the famous pimp Jeffrey Epstein, who died mysteriously in a New York prison in 2019. No, the banker has yet to be charged with specific sexual assault cases, but the feds suspect him of helping Epstein make money by selling underage girls to VIPs, keeping that money in JPMorgan Chase accounts, and invested them profitably. Jamie Dimon promised to testify under oath to that effect.
This good-looking, gray-haired gentleman has been traveling the world for decades, urging us to consume less, eat and drink less, save the climate, stop procreation, and urgently all transition to transgenderism. And now he will testify in the case of mass violence against minors. That’s how fame goes.
However, one does not get the impression that this noisy scandal is intended to obscure the issue of the JPMorgan Chase reports. Because the collapse of the shares of such a giant will make obvious what the authorities are still trying to hide: the banking crisis is already covering America and Europe.
But how dangerous is this to the rest of the world? After all, Americans are recognized masters of presenting their problems. In particular, its isolation plays to the advantage of Russia’s banking system. Paradoxically, the Austrian Raiffeisen became the leader in terms of revenue in 2022. among European banks, precisely because of the fact that it remained almost the only one on the Russian market. Only Sberbank did better with profitability.
Naturally, European authorities are now pushing hard for Raiffeisen to leave Russia and go bankrupt along with everyone else. Well, this once again proves that our country is a classic refuge in the raging economic hurricane.
Translation: V. Sergeev
Subscribe to our YouTube channel:
and for the channel or in Telegram:
#West #facing #banking #crisis #Russia #safe #haven