With lawmakers poised to discuss on June 8 a draft bill proposed by the opposition Liot party to cancel the retirement age reform, the unions said in a joint statement that the day of industrial action on June 6 was meant to “allow all workers to make themselves heard by the MPs.”
Daily Archives: 2. Mai 2023
JP Morgan Chase now owns First Republic‘s sound assets. The FDIC owns its toxic assets. When big banks‘ gambles succeed, they profit. When they fail, we bail them out. Heads they win, tails you lose. #Kennedy24
Ultimately the problem stems from an over-financialized economy. Finance is supposed to serve production, not replace it. We need to reinvest in the productive base: infrastructure, labor, health, social, and natural capital. #Kennedy24
It’s time to worry about a US default. For real this time
There’s a banking crisis, which regulatory officials and big American banks very much want you to believe is ending after decisive action over the weekend to take over and swallow up another failing bank.
And there’s a debt crisis, which is becoming more urgent as the US approaches the “X-date” – when it would default – and on which opposing lawmakers aren’t currently talking to each other.
First Republic fallout: Democrats fume as regulators bail out yet another failed bank
Sen. Elizabeth Warren (D-Mass.), a fierce critic of big banks, emphasized that the FDIC bailout of First Republic once again puts taxpayer money on the line. That’s after $25 billion was used from the Treasury’s Exchange Stabilization Fund to backstop a loan for the rescue of depositors at Silicon Valley Bank in March.
First Republic Bank Is Seized by Regulators and Sold to JPMorgan Chase
(May 1, 2023)
The government’s takeover and sale of First Republic comes roughly eight weeks after the government took control of Silicon Valley Bank and Signature Bank, whose failures sent a shock wave through the industry and raised fears that other regional banks were at risk of similar runs on deposits.
FDIC prepares to place First Republic under receivership
(April 29, 2023)
Separately, the Wall Street Journal reported on Friday that JPMorgan and PNC are vying to buy First Republic following its seizure by the government, which could come as soon as this weekend.
If the San Francisco-based lender falls into receivership, it would be the third U.S. bank to collapse since March. First Republic said this week its deposits had slumped by more than $100 billion in the first quarter.
Silvergate has collapsed
(Mar 8, 2023)
In January, its earnings report revealed that it lost a billion dollars in one quarter after its customers withdrew $8.1 billion. Then, on March 1st, it filed a document saying its financials were even worse than the quarterly report had shown.
The Federal Government Bailing Out Crypto’s Biggest Bank? Silvergate Taps the Federal Home Loan Bank as its Lender of Last Resort
(January 19, 2023)
The FHLB system was created under Herbert Hoover in 1932 with the primary goal of making homeownership more affordable for the average American. (…)
While FHLBs are privately capitalized, they enjoy a special statutory lien priority which can place them ahead of other parties, including the FDIC, in bankruptcy proceedings. Thus, if Silvergate were to join the spate of major crypto industry entities that filed bankruptcy recently, it could leave the FDIC holding the (empty) bag, responsible for paying out deposit insurance on Silvergate’s FDIC insured accounts while the FHLB is first in line for any assets remaining.
Signature execs sold $100 million in stock in three years pre-bailout
(April 4, 2023)
The insider sales went largely unnoticed because Signature Bank, unlike most other S&P 500 companies, filed documents with the Federal Deposit Insurance Corporation instead of the Securities and Exchange Commission. (…)
The bank collapsed and was taken over by federal regulators last month, in the wake of Silicon Valley Bank’s collapse.
The Silicon Valley Bank Bailout: The Purpose of Government Is to Make the Rich Richer
(April 2, 2023)
The idea that conservatives like the market and not the government is unadulterated crap. It is a myth that they use to conceal the ways they have rigged the market to make income flow upward. Unfortunately, virtually the entire left has agreed to go along with this absurd myth. Moments like the bailout of the rich depositors at SVB make the truth about conservatives and the market apparent to all. (And yes, this is the point of Rigged [it’s free].)
Silicon Valley Bank seized by FDIC after largest failure since the Great Recession
(Mar 10, 2023)
Silicon Valley’s failure came with incredible speed, with some industry analysts on Friday suggesting it was a good company and still likely a wise investment. Silicon Valley executives were looking to raise capital early Friday or find additional investors in the company. But trading in its shares had been halted before the opening bell due to extreme volatility.
Shortly before noon eastern time, the Federal Deposit Insurance Corporation announced it was shuttering the bank. Notably, the FDIC did not wait until the close of business to seize the bank, as is typical in an orderly wind down of a financial institution.