Silicon Valley Bank online banking system and mobile services are now unavailable for business clients. The stock is down over 80% yesterday alone.
In 2021 SVB saw a mass influx in deposits, which jumped from $61.76bn at the end of 2019 to $189.20bn at the end of 2021.
As deposits grew, SVB could not grow their loan book fast enough to generate the yield they wanted to see on this capital. As a result, they purchased a large amount (over $80bn!) in mortgage backed securities (MBS) with these deposits for their hold-to-maturity (HTM) portfolio.
97% of these MBS were 10+ year duration, with a weighted average yield of 1.56%.
The issue is that as the Fed raised interest rates in 2022 and continued to do so through 2023, the value of SVB’s MBS plummeted. This is because investors can now purchase long-duration "risk-free" bonds from the Fed at a 2.5x higher yield.
This is not a liquidity issue as long as SVB maintains their deposits, since these securities will pay out more than they cost eventually.
However, yesterday afternoon, SVB announced that they had sold $21bn of their Available For Sale (AFS) securities at a $1.8bn loss, and were raising another $2.25bn in equity and debt. This came as a surprise to investors, who were under the impression that SVB had enough liquidity to avoid selling their AFS portfolio.
Here's what happened to the banks stock price:
This is big, a woman I spoke to is an MBA at a small tech company. She said her company was freaking out and was trying to pull money out all day and all the transactions are still “pending”. There are so many of these smaller tech companies out there that aren’t even profitable yet and they could easily go belly up over this.
This goes way beyond just some banking contagion.
401-K Withdrawals being Delayed MONTHS!
Word from money giant VANGUARD is that people with 401-k's who have been trying to make "Hardship withdrawals" for the past two months, have been stymied by VANGUARD.
According to one customer, he has been trying to take money out of his 401-K to pay down some medical debt. People with 401-K's can make what are called "Hardship Withdrawals" to get some cash during troubled finances, and minimize the tax impact.
Instead of giving this one man his money, VANGUARD demanded to see the Explanation of Benefits (EOB) from his health insurance! The guy sent it, showing exactly the medical procedure he had done, the charges, what the Insurance paid, and what his portion is. That was two months ago. According to the man, VANGUARD has still not sent his money and each time he calls or writes, he is told either "We need the EOB" or "The transaction is still pending."
Result: No money from VANGUARD!
banks are hurtin..
Moreover, BCS -3.60%
Deutsche Bank collapse 10% before slightly recovering in opening trading
CREDIT SUISSE WINDING DOWN???
The Depository Trust & Clearing Corporation is an American post-trade financial services company providing clearing and settlement services to the financial markets. The organization posted THIS NOTICE about Credit Suisse yesterday:
This has left many people wondering if Credit Suisse is dead?
WELLS FARGO ISSUES?
Reports are coming in as of 7:46 AM EST of money missing in wells Fargo accounts this morning.
They are claiming a direct deposit issue. we will see.
Stock markets across Asia down 3%, German and French exchanges just open down 1.8% in minutes, London down 1.6%
Hold on to your hats!
Fed might be forced to reverse monetary policy next week!!
Black Friday …Black Monday??
USA: House & Senate vote unanimously to push Covid “virus” narrative
Editor’s Note: This is a vote 100% in favor of the BigPharma Scamdemic, because by wanted a release of information about the origin of a non-existent virus, they uphold the fake narrative of a Pandemic, which in fact never existed except to convince 7 billion to take the DeathVaxxes, destroy their own health through the DeathMask or DeathSwabb and come under the permanent control of the globalist elite, at the level of human rights and health decision. — When and if Nuremburg 2.0 is held, ever politician who voted for this should be on the list of those to be prosecuted, under penalty of death, for intentional fraud to deceive humanity to take poison.
Attention: Left a note attached, to ask what Rome is doing in excommunicating THESE MURDERS?
Attention to those of the faithful in Christ,
You have the facts now start with Nancy Peloci , Chuck Shummer, and Mitch McConnald. All the one~ MURDERS!
Keep your Knights in protection prayer.
By My Oath and in Jesus Name,
If you owe the bank $100, that’s your problem. If you owe the bank $100 million, that’s the bank’s problem.
John Paul Getty
Even with caveats about not being a financial advisor or offering financial advice, his common sense assessment of the situation seems to be unfolding here and now.
Over the few last months, I have been pulling small amounts of cash in the event such a situation, now unfolding, could take place.
Glad I did as now I have the cash to pay my property taxes and feed the family with out the fear of dealing with an insolvent bank.
Thanks again Hal!
According to the Austrian economic model the so-called Federal Reserve has painted themselves into a corner. Heads they can continue with their present policy and take us into the "Greater Depression" or Tails, they can "pivot" us into hyperinflation?!
The second dream was given to Richard Mew early last year about war coming to America on "3/15/1" with 12 nukes hitting 12 cities. He was waiting for it to happen last year and when it didn't happen he determined the strange date given with "1" meant in one year or this coming Wednesday, March 15.
Also, Turkey and Syria were recently hit my a huge earth quake with 30,000 deaths. This could easily be part of the sixth seal of Revelation which includes the "great day of the Lord's wrath", Rev.6:17. The pre-wrath rapture Christians have said for years that this is when the Tribulation starts in earnest.
If a devastating tsunami hit America it would be a perfect opportunity for Russia and China to attack and invade. Isn't it interesting these two prophecies are coming at a time when the well informed people of this site are already on the edge of our seats?!
You would pisseth in your panties if I was tell you on just one that I get LOL!
Really you need to stop with this dream vision crap and go get a real job lol!
"Also, Turkey and Syria were recently hit my a huge earth quake with 30,000 deaths. This could easily be part of the sixth seal of Revelation which includes the "great day of the Lord's wrath", Rev.6:17. The pre-wrath rapture Christians have said for years that this is when the Tribulation starts in earnest."
ARE YOU NUTS!
It is clear to all your a common core math graduate.
30,000 vs 1/3?
Your post are only a different type of WEED SEED.
Please stop your silliness.
That is all.
Poland grabbed half of Germany after WW II.
This is part of the reason God is judging the world.
Again, it is clear to all your a common core grad.
On a much better story about the Russian attacks of mar. 9 here is a good one to make your day a little more happy. Tells us about how the Russians killed a lot of SCUM from nato and also from gringostan as well. Good read to give you a good laugh at least. The more of these pieces of shit that get killed the better off we the people will be. And these banksters too need the same treatment hunt them down.
Have a good laugh here now and read about some DEAD gringos in ukraine.
YES Indeed mate. Russians killed lots of nato shit with the missles and of course the awesome **MACHINE** thats works so good on these pieces of shit from ukraine and their nato shitbags.
Boom......Boom...........boom..........boom........boom.............boom........boom and another pile of mangled hamburgur appears. More DEAD SCUM from ukraine. Stoooopid fukurs they are.
MORE DEAD SHITBAGS. LOL LOL LOL LOL LOL LOL LOL LOL
KILL MORE OF THESE USELESS PIECES A SHIT.
Boom.........Boom..........Boom..........Boom.....Boom goes da **MACHINE**. LOL LOL LOL Move er ahead another 100 feet boys, just roll over the dead piles of shit in the way. Drive a tank over them dead pieces of shit. LOL Squish goes the SCUM.
So good to know that close to a hundred thousand or more of these cock sukurs from the bahkhut fight is now DEAD. LOL LOL LOL LOL LOL LOL LOL LOL
It just keeps getting funnier the more DEAD ukraine SCUM the better.
Hopefully people start hunting them.
Make them afraid to show themselves. Would only have to kill a few of them to make a difference.
So I am betting, with my $$$, that rates continue up and I am shorting the markets in a big way....
Do you have specific links?
Thank you plunge protection team. I
Can't wait to see the thing implode and
the plunge team powerless to do anything
NATO-Russia direct clash possible': U.S. intelligence's big warning amid Ukraine war |
The U.S. intelligence community fears a potential direct clash between NATO and Russia.
The Director of U.S. intelligence, AVRIL HAINES, is a Jewish woman, as always, when the American Jewish population is about 6 millions and the no jewish are about 330 millions of Goym slaves! This is an absolutely absurd and unaccettable disproportion which is pushing USA (and the planet, of course) towards WWIII.
She said (without understand anything about Russia, as always) that Moscow wants to prolong the war in Ukraine in which 'neither side has an advantage.' Earlier this year, an unclassified intel report of the U.S. intelligence stated that Russia will remain a formidable challenge for the U.S. and its heightened claims about Washington's involvement in the war could presage further escalation.
My suggestion to the person that can't get their money out of Vanguard. Time to let your attorney handle it.
When people put their money into the banks, it becomes the bank's money by contract.The dirty thieves changed that a number of years ago. It literally becomes theirs.
Banking bellwethers Bank of America, Wells Fargo and Goldman Sachs also fell during early morning trading, last down 4.5%, 2.6% and 4%, respectively.-CNBC
Credit card clients may notice servicing outages while we work on system updates through March 12th.
Today is March 10th. Hmmm.
I then make my way to my PC and logged in from there. That was working fine,
As of this writing, I just checked my phone app again and it's working.
Today, that anchor is fiat currency, which is both parochial
and unstable. Historically, and in law it has always been gold.
March 9 (King World News) – Alasdair Macleod,
head of research at Goldmoney
At the last count, foreign ownership of dollars and
dollar-denominated financial assets totalled about
$30 trillion, somewhat more than the US’s entire GDP.
For the eighty-one government delegations attending
Putin’s St Petersburg Economic Forum, it will rapidly
become a case of sell while they can.
Unfortunately Gunner, many aren't broke and they are depending upon their IRAs and 401ks to see them through retirement. All of these people are in for a terrible awakening. It is going to be very bad for them. That's when things will get dicey for everyone. I do not wish for that day to come any earlier than it's going to come.
How can Bill gates and George Soros give away tens of billions every year for decades and still be worth 100 billion? Because they are given the money for them to dole out to enslave us.
They can collapse the whole thing today or kick the can down the road another 15 years like they have since 2008.
They blame inflation on the common guy receiving a check for 700 bucks from the government if you qualified but yet cars have exploded in price, housing, supplies, food etc etc. And it's multiples higher than what little they gave out to the people. So obviously the money is being poured in to banks and they in turn are buying stocks driving the base costs up and the mega corporations are then instead increasing costs 4% to offset those expenses to doubling and tripling the cost to the consumer.
Looks like you hit the week right, Hal. I had wondered why the markets shot up yesterday on "jobs" information hinting at Fed easing, then started plummeting about a couple hours later.
I do not think the Fed will be able to stop the slide. Though they give the impression they control interest rates, they do NOT. All they can do is start creating and pumping keystroke money into the financial sector to cause liquidity. At this point, they make depositors and bankers whole with printed money, but in the process destroy capital ( long story ). Note that money is NOT capital in the economic sense. It is only capital to the financial system, because it is how they "earn" their money. Don't let them lie to us all. Anyway, destroyed capital makes for further supply problems of REAL goods, while at the same time increasing the slosh of money chasing those goods. All the Fed will be doing by "reversing" next week, is further feeding the inflation monster.
You were on top of this, and I have as a result been watching all week. Thanks.