4 ms·

JPMChase doesn't care about your deposits

• hd95489 4y ago
  First SVB was effectively insolvent way before they had a run. There are many other bank with the same problem. Not having to mark to market doesn’t make you any less insolvent it just makes you a zombie bank
  • isitmadeofglass 4y ago
    [dead]
  • kunle 4y ago
    I think on this basis most banks in the us are functionally insolvent. Not defending SVB - just calling out that the dynamics that make svb insolvent (400bp rate rise in a couple years after a spike in deposits with lots of deployment in fixed income securities) are essentially true for all banks in the us.
    • hd95489 4y ago
      It may be true, depending on how low the bar for reserves was set it’s possible a lot of banks are sitting around as zombies
      • kunle 4y ago
        Not just possible. Likely.
• kunle 4y ago
  Better said here than me: https://twitter.com/squawkcnbc/status/1636705550237851648?s=46&t=wX0_DejMFklxsUVnW35NyQ https://twitter.com/squawkcnbc/status/1636705550237851648?s=...