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re: Get ready for the Fed to make a horrible move cutting rates just to help Joey and Kamala.

Posted on 3/25/24 at 4:29 pm to
Posted by Timeoday
Easter Island
Member since Aug 2020
11637 posts
Posted on 3/25/24 at 4:29 pm to
quote:

CRE is in a bind with so much debt terming this year and asset values stressed.

Banks with exposure will feel it.

Housing market is affected by interest rates.

They'll lower them (they shouldn't, but they will) to save those two sectors if nothing else.

By the way, the FDIC is essentially guaranteeing over $20 trillion in deposits on just over $100 billion. So they’ve got a half-penny on the dollar. In reality, the FED is in a pickle. Slashing interest rates could staunch the bleeding. But with inflation marching up every month – currently at 5 and a half percent annualized – that’s not going to happen.

STAGFLATION!!

The Meltdown
This post was edited on 3/25/24 at 4:32 pm
Posted by LSURussian
Member since Feb 2005
128380 posts
Posted on 3/26/24 at 12:41 am to
quote:

the FDIC is essentially guaranteeing over $20 trillion in deposits
That’s wrong by a factor of almost 100%. As of March 1 the total FDIC insured deposits were about $10.5 trillion. And total U.S. commercial bank assets available to cover those deposits equals $23.3 trillion.

You continue to be clueless about anything related to financial markets.
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