I don't see them sticking to their words in the near future, they never do.
It could very well be the case right now so they can save their rich friends, but to only shit on everyone else right after. If many banks begin to fail right after this (we're seeing the cracks now) and they do indeed print off endless monies, inflation is going to bury everyone. Sounds very precipicy if they stick to their new gun.
There is no earthly way that the Federal Reserve can guarantee everyone's deposits. Commenters here are focused on the inflation, because that was the gist of the article quoted, and yes, printing money causes inflation. However, we are talking several orders of magnitude difference as I pointed out in my other comment.
This is a Federal Reserve panicking. They are trying to appear to be doing something, but their measly 25 billion, which is certainly inflationary, will literally cover just over 0.1 % of the money held by the public.
They claim they are calming the public, but I don't believe them. AT ALL.
Do you feel safe yet?
Of course, most of the public will probably not withdraw all their money. Most can't, because it is invested in say: real estate. And to divest that, would mean putting themselves out of their own homes. So there is a buffer. But what if 1% of people wanted their money in cash now? That is nearly ten times the 25 billion figure.
I see that the rot is spreading as more banks have stopped trading. The noose is tightening.
They're most definitely panicking, and I don't see them following through with their words one bit, as you stated, we're on the same page. That's why I suspect they are only going to help out their cronies with SVB and that's it. This is them trying to save face, but will only fall flat on it soon.
I don't see them sticking to their words in the near future, they never do.
It could very well be the case right now so they can save their rich friends, but to only shit on everyone else right after. If many banks begin to fail right after this (we're seeing the cracks now) and they do indeed print off endless monies, inflation is going to bury everyone. Sounds very precipicy if they stick to their new gun.
There is no earthly way that the Federal Reserve can guarantee everyone's deposits. Commenters here are focused on the inflation, because that was the gist of the article quoted, and yes, printing money causes inflation. However, we are talking several orders of magnitude difference as I pointed out in my other comment.
This is a Federal Reserve panicking. They are trying to appear to be doing something, but their measly 25 billion, which is certainly inflationary, will literally cover just over 0.1 % of the money held by the public.
They claim they are calming the public, but I don't believe them. AT ALL.
Do you feel safe yet?
Of course, most of the public will probably not withdraw all their money. Most can't, because it is invested in say: real estate. And to divest that, would mean putting themselves out of their own homes. So there is a buffer. But what if 1% of people wanted their money in cash now? That is nearly ten times the 25 billion figure.
I see that the rot is spreading as more banks have stopped trading. The noose is tightening.
They're most definitely panicking, and I don't see them following through with their words one bit, as you stated, we're on the same page. That's why I suspect they are only going to help out their cronies with SVB and that's it. This is them trying to save face, but will only fall flat on it soon.