The Stock Market Is Not The Economy Thread II

[6souls]

https://twitter.com/MorePerfectUS/st...198354434?s=20

Arkansas trying to adopt a libertarian policy.

[Yabby]

[archibaldcrane]

https://twitter.com/SteveRattner/sta...b9v4QSx5g&s=19

https://twitter.com/byHeatherLong/st...CBw3aYQaQ&s=19

https://twitter.com/mtkonczal/status...mzUqApBaA&s=19

[Mayareira]

aaand as expected markets are blood red lol. I've got 30 stocks on my watchlist and they are all, all red :D

also thanks to svb's failure and its effects on Nasdaq as well.

[Mayareira]

That said, 10 more banks other than svb are considered risky, expanded beyond their natural capabilities. Most thought post 2008 banks were well audited and this basically shatters the image.

Markets currently have a nervous and pessimistic approach to the issue.

That said, for carefully selected stocks this could be a good opportunity for the investors. After all you are supposed to buy from pessimists and sell to optimists.

[Daydreamer]

Made absolute bank today because of SVB. I figured volatility would be nuts today so I bought VIX options. Managed to sell some at the peak for 3000%

[Spicyryan]

https://twitter.com/GRDecter/status/...SGgG14PaQ&s=19

[archibaldcrane]

Remember that Dodd-Frank would have had Silicon Valley Bank under stricter asset tests as a bank with deposits over 50B, until that asset test was raised to 250B by:

https://en.m.wikipedia.org/wiki/Econ...Protection_Act

Republicans teamed up with some centrist Dems to weaken Dodd-Frank in 2018, signed by Trump.

SVB had 212B in assets at the end of last year.

[Spicyryan]

Remember that Dodd-Frank would have had Silicon Valley Bank under stricter asset tests as a bank with deposits over 50B, until that asset test was raised to 250B by:

https://en.m.wikipedia.org/wiki/Econ...Protection_Act

Republicans teamed up with some centrist Dems to weaken Dodd-Frank in 2018, signed by Trump.

SVB had 212B in assets at the end of last year.

You shouldn't need to tell professional bankers not to go all-in on long term illiquid investments.

[Zealot]

Why not? What is the downside for them? They all still made their money and will face no consequences beyond not having to go in to work anymore.

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[Spicyryan]

Why not? What is the downside for them? They all still made their money and will face no consequences beyond not having to go in to work anymore.

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Because it can cause insolvency when you take short-term deposits and put them into longer-term fixed-rate assets.

Also, the consequences are likely greater for them than anyone faced after 07/08.

[Spicyryan]

So not only do we have blatant insider trading by the CEO, CFO, and CMO before the collapse. We have bonuses being paid out Friday despite not being able to fucking make it to to the end of the day before FDIC stewardship. Out-fucking-standing. For the bankers, the wall.

https://twitter.com/unusual_whales/s...iBgTEDUGQ&s=19

[6souls]

https://twitter.com/dwnews/status/16...388993538?s=20

[Qalbert]

fuck em

[Yabby]

Second, they picked what to invest in... that is a gamble.

[archibaldcrane]

https://twitter.com/JosephPolitano/s...qDzL7ELTQ&s=19

Hopefully this sequesters the panic appropriately.

[Meresgi]

So not only do we have blatant insider trading by the CEO, CFO, and CMO before the collapse. We have bonuses being paid out Friday despite not being able to fucking make it to to the end of the day before FDIC stewardship. Out-fucking-standing. For the bankers, the wall.

https://twitter.com/unusual_whales/s...iBgTEDUGQ&s=19

From what little i've read the stock sales + bonus payouts and such were all scheduled to happen in March as per usual so they look super sketchy but they are red herrings as opposed to all the other shit going on with the bank.

[Spicyryan]

From what little i've read the stock sales + bonus payouts and such were all scheduled to happen in March as per usual so they look super sketchy but they are red herrings as opposed to all the other shit going on with the bank.

Shouldn'tbe paying them out, knowing their position.

https://twitter.com/GRDecter/status/...uh9PthTIQ&s=19

[The Stig]

Hey guys so I know nothing about banks in general but I wish to check/ask one thing. In the UK, Chase bank, apparently america's biggest? owned by JP morgan
So they operate in the UK as Chase, online only bank; I got about 3 months pay cheque in there as an emergency fund since they offer good interest rates for keeping money there. Not really knowing exactly what happened besides this silicon bank going down, how likely is chase going to be affected? Especially outside the US?

Just in case someone had some better knowledge than me so I can have foresight to move money out of there back into one of the UK banks if needed haha

Going to sleep now as it's nearly 3am but i'll poke my head back in here tomorrow. Sorry i know it's not share/stock talk but people are are mainly US here so I think it's the best place to ask for a very quick opinion!

[Meresgi]

Shouldn'tbe paying them out, knowing their position.

They were automated, apparently it's typical to have automated payouts like this happening in March.