Where to next for the banking crises?

So far:

  • a couple of woke US banks got taken out
  • Credit Suisse wobbled and got forced to merge with UBS

I am not well read about these events and so hesitate to draw these two events together. Maybe some of you can comment on that. This is related:

https://www.economist.com/finance-and-economics/2023/03/20/credit-suisses-takeover-causes-turmoil-in-a-275bn-bond-market

“When things go sour and trigger points are reached—such as a bank’s capital falling below certain levels relative to assets—the bonds convert to equity or are written down, cutting the bank’s debt and absorbing losses. In a post-collapse pecking order, at1 bondholders should come between senior bondholders, who have a right to payouts first, and stockholders, who in theory take first losses.

Credit Suisse has shaken the market for at1 bonds, now worth around $275bn, for two reasons. One is the size of the write-down, the biggest in the history of cocos by some way. The other is the fact that stockholders emerged above at1 bondholders in the pecking order. “

Also this: https://www.economist.com/finance-and-economics/2023/03/21/americas-banks-are-missing-hundreds-of-billions-of-dollars

“the Fed has raised the rate on overnight-reverse-repo transactions from 0.05% in February 2022 to 4.55%, making it far more alluring than the going rate on bank deposits of 0.4%. The amount money-market funds parked at the Fed in the reverse-repo facility—and thus outside the banks—jumped by half a trillion dollars in the same period.” and the resulting headline “How the Federal Reserve drained the financial system of deposits”

The worry is that without sufficient deposits, US banks will be unable to fund themselves.

Someone at MB (I think), or maybe it was one of you, suggested that commerical property could be the next disaster waiting to happen thanks to higher rates and reduced demand due to people working from home.

This was reposted at zero, it mentions US commercial property and some other stuff:
https://www.zerohedge.com/markets/and-just-tight-money-era-over

“The take-away? In the midst of all the various credit crises, controlling inflation will be moved to the back burner. And the world will realize that the central banks are out of ammo, with no choice but to let their currencies burn.”

zero’s always alarmist but IMO bitcoin’s looking good, especially with a halving due next year.

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Drago

While the MSM is trying to pretend Putin has cancer and generally spouting US Democratic Party crap on Ukraine, Putin goes and says this:

https://twitter.com/Kanthan2030/status/1638205973868482561?s=20

A fly in your ointment

Indeed.

When empire of evil lost flucked its own soft power out of its sheer greed, it was left only with brute force which culminated with a shot in the foot and weaponisation of US$.
The king is not dead as yet, it is terminally ill and unlike my previous belief, we get to see his end (at least usnwithout a Fauci lottery ticket). UnDollarisation became irreversible process that got its unstoppable momentum.
24. February 2022. is the beginning of the end.

A fly in your ointment

excellent touchè

emusplatt

rio have settled iron ore contracts in yuan previously …and probably still are

Coming

Ah yes, the classic example of let’s list all these deflationary forces that always ends up being good for Bitcoin

worthless internet tokens will surely be the best hedge against inflation/deflation/stagflation/soft landing/hard landing anything really

Drago
Aussie Soy Boy

Property is a great hedge. That one always gets overlooked. You can actually live in it and enjoy it too, unlike a fucking gold bar or internet token.

Ramjet

Property Always get overlooked. LOL, it is the only game in town in Australia.

The90kwbeast

Plus the gains are all CGT free for your PPOR. Win win.

In about to renovate my 1990 made bathrooms, figure it’s a good investment.

emusplatt

how many hedges are worthless here? With a third party that can’t or won’t pay… I’m starting with 90% of ’em

https://boriquagato.substack.com/p/banking-crisis-groundhog-day?utm_source=post-email-title&publication_id=323914&post_id=109978823&isFreemail=true&utm_medium=email

emusplatt

commercial property galactic brains blackstone are defaulting on payments…

“Blackstone has been exercising its right to block investors’ withdrawals since November last year after requests hit a preset 5% net asset value of BREIT, which is marketed to mostly high net worth individuals.”

Blackstone defaults on Nordic mortgage-backed bond | Reuters

Brookfield’s One Liberty value slashed by $500M

Last edited 1 year ago by emusplatt
Ramjet

Wonder how long it will take for commercial property to be written down in Australia. Whilst our Main Street is very busy, the vacant buildings have remained vacant for a while now. Only so many Asian restaurants, nail places, bubble tea places a place can have.

Additionally, CBD office space is not fully occupied, so not sure the landlords can ask for significant rent increases to offset higher borrowing costs. Will probably affect REITs. I am pretty sure super funds won’t write them down and just lobby to get people back to the office.

Coming

https://www.dailymail.co.uk/news/article-11892353/The-Voice-referendum-Anthony-Albanese-chokes-reveals-wording-question.html

If a majority of Australians vote in favour of the Voice, the Constitution would be amended as follows: 

1. There shall be a body, to be called the Aboriginal and Torres Strait Islander Voice;

2. The Aboriginal and Torres Strait Islander Voice may make representations to the Parliament and the Executive Government of the Commonwealth on matters relating to Aboriginal and Torres Strait Islander peoples; 

3. The Parliament shall, subject to this Constitution, have power to make laws with respect to matters relating to the Aboriginal and Torres Strait Islander Voice, including its composition, functions powers and procedures. 

what the fuck does this even mean?
so basically its a blank cheque for the ALP to make whatever laws they like in regards to aboriginals

Didn’t they already have that power?
What part of constitutional limitations are they actually bypassing with this?

stagmal

whats funny is theres already 11 ‘aboriginal’ ppl in parliament now, theyre already overrepresented relative to how many there are in aus. so why do they need even more representation

its not gonna do anything

Last edited 1 year ago by stagmal
Coming

that’s what I’m asking – what constitutional limitations are they bypassing if this passes?

Or is it just virtue signalling and dog whistling?

Seems very expensive

stagmal

the only thing that is going to be different is the advisory body but the parliament doesn’t have to accept its recommendations, does it

what if the parliament rejects the advisors can they take it to the high court or whatever

the whole thing is super gay

The90kwbeast

If you reject the voice recommendations that will be racist, and no one wants to be a racist…

LSWCHP

I do. I’m a racist. I fucking love it.

The90kwbeast

Yes but no political party wants to be labelled that

bjw678

They don’t need a referendum to create a fucking advisory body, how many advisory bodies do you think already exist.

The only thing you need a referendum for is to create a body with powers beyond what the parliament has now.

emusplatt

it means I’m voting NO… parliament controls the composition of the body ffs…. like that won’t be as corrupt as fuck..
stupid dangerous meddling

Last edited 1 year ago by emusplatt
Ramjet

Plenty of advisory roles, consultant fees though.

Drago

The gravy train will be huge, Mark Dreyfus has already shown with his ICAC thing. Lawyers picnic as they say.

ATSIC was a multi billion dollar rort that had to be closed down, but The Voice will beat that easily seeing how Bill Shorten has sent NDIS careering on to billion dollar blowouts.

EZFKA will become one of the highest taxed countries within a few years under these muppets. Get yourself ready for some great tax evasion schemes soon…

OzCuck

Rents going through the roof and his main thing is putting abos in our face. I doubt this will go down well with interest rates, inflation, potential WW3. I think I was wrong I think Dutton has a shot.

Gruppenführer Mark

All animals are equal, but some are more equal than others.

A fly in your ointment

this is this is the reaction they wanted from you, to make them victimised even more.

“my pronouns are Petrol and Diesel and I don’t identify as but I am Petrosexual*”.
I said this to someone that threw their pronouns in my face and he took a hate poison pill hoping I will die from it. Made me happy with myself for weeks after….

* not my invention, I heard this someplace on the net.. luv it

…make them feel victimised even more…

Ramjet

SVB failed because it failed to manage the interest rate risk in its banking book. Oh, and the acting CRO was more interested in woke causes than running a bank. They had no full time CRO for almost a year.

For liquidity, banks are supposed to hold liquid treasury instruments and SVB opted for treasury bonds. Given the duration and convexity of these instruments, they have more interest rate risk than treasury bills. SVB failed to hedge this risk. Now expect Basel IV or V after this.

As for Credit Suisse, good riddance. They have been involved in every scandal over the last few decades.

I also noticed that Yellen didn’t give a straight answer about insuring deposits for a small bank in a flyover state.

As to where next, I guess the choice is to tame inflation to help the working class or save banks from themselves and save the elite.

bjw678

As to where next, I guess the choice is to tame inflation to help the working class or save banks from themselves and save the elite.

Firstly, as if thats a choice that will require any thought
Secondly, if the plan is to tame inflation by jacking interest rates it isn’t going to help most of the non elite.

Ramjet

Deutsche Bank will be the next Lehman. Marc Faber stated it is too big to fail and too big to save.
https://www.investing.com/news/economy/deutsche-bank-shares-whipsaw-after-cds-blowout-3038686

Agent 47

EZFKA becoming the premiere op ed destination for economists and property developers.

20230323_123745.jpg
emusplatt

#koalakiller makes a comeback

bjw678

No property developer wants anything they don’t already own rezoned. All the profit is in the rezoning.

Drago

Daddy Dan Andrews has just introduced a “Windfall Gains Tax”, to hammer anyone benefiting from rezoning. It’s something like 75% of any value uplift, which will make old farmers very pissed off. The Greens want the tax to be at a 75% rate. Nationally all the Year 10 economic studies graduates currently masquerading as Federal and State Treasurers will all want to copy this.

The upshot is Developers will not risk rezoning, being cost prohibitive. So like every other ALP plan it will fuck the supply side, shrivel it up more and make the cost of housing worse.

EZFKA suckers won’t even know it exists.

bjw678

It’s something like 75% of any value uplift,

Who defines the value uplift, and how?
Is the uplift the zoning change or the result of development work?
No chance that would be rorted or distorted, just like the zoning process itself.

Coming

https://www.dailymail.co.uk/news/article-11892755/Lidia-Thorpe-tries-storm-stage-Kellie-Jay-Keen-aka-Posie-Parker-speaking-Canberra.html

lmao this bitch is the queen of the race/sex grifters

she would be an amazing root though I have absolutely no doubt

Drago

She’s putrid, just a stupid Bikie slag who must be ok with being passed around as they like to do. I’d say her IQ is equivalent to a supermarket shelf stacker with a brain injury.

So much fun to watch though, but her life must be just dog vomit. She is obviously supporting the long history of Aboriginal Trans Gender freaks, I’m sure their culture must love Paedo freaks and off kilter lesbians.

Seeing her crawl away like that across the grass was pathetic, she puts zero value on her own self respect etc so I would guess Coming’s assumption would be spot on.

LSWCHP

LoL. She threw herself to the deck, then claimed the cops had pushed her over. Then she crawled along the ground instead of standing up.

She needs to do much better than that. That shit just looks stupid.

Gouda

Might be in with a shot as she confuses fucking and fracking.

https://twitter.com/domgiannini_/status/1638428089876381696

Coming

https://www.dailymail.co.uk/news/article-11892669/Lisa-Wilkinsons-lawyer-shut-demanding-39-823-pages-Bruce-Lehrmanns-phone-records.html

Lisa Wilkinson’s lawyer has been shut down in court as she sought to access 39,823 pages of Bruce Lehrmann’s phone records, dating back to 2017

The phone data not only include his messages, they included apps he opened, the pages he visited, GPS tracking, call logs, images searched items, right down to website cookies stored on his phone.

brb getting a burner phone under my nan’s name

stagmal

do they still sell burner phones, like use once then chuck away cell phones i havent seen one in ages

bjw678

You can buy whatever phone you like no questions asked, but the ID requirements to get a functional simcard have been in place for decades.
How easy or hard those requirements are to bypass I have no idea.

Stewie

It is a trivial task to get a working sim under a fake name from the dark net. I’ve had one, although I let it lapse as it had served its purpose. From there you can easily grow out additional forms of identity using that sim as the keystone.

stagmal

that’s fascinating, so you can basically become the invisible man

Stewie

If you want. It was dead simple, but my nefarious purpose had been met so I took it no further and let the sim lapse.

Coming

its a full ordeal to get a sim card even a pre-paid

LSWCHP

Just bought one for my Mum. A little flip phone with actual buttons.

Aussie Soy Boy

Do they get all that from the phone itself, Apple, or from the telco?

bjw678

Most would be available from the telco, possibly all if the phone sends the GPS tracking data back to the mothership.
Assuming the telco chooses to save it all.
What they are legally required to save is here

Aussie Soy Boy

That’s interesting. I had a look and it says they aren’t obligated to maintain detailed data, but it seems like they do it anyway. Storage is so cheap it’s probably just as easy or easier to keep all of it.

No wonder why they worry about the Chinese tracking people when they track every movement anyway.

The90kwbeast

https://youtu.be/tsEMe69A7KQ

So is Pauline into something with uncovering the true intentions of the voice here?

“As Australians would be aware, the Liberal Party have struck a deal with Labor to give the Government the numbers to pass the Voice Referendum Machinery Bill.

So in effect the Coalition have handed Labor the starters gun for what will be an extraordinarily divisive constitutional change where we peg Indigenous Australians against all other Australians.

My concerns have been further elevated today, by a letter I received from a member of the public who provided an eleven point plan, he says was devised by staff within the National Indigenous Australians Agency, which operates within the remit of Prime Minister and Cabinet.

It’s the same NIAA group I brought to the Australian peoples attention earlier this week.

A body of 1,317 bureaucrats, funded to the tune of almost $4.5 billion this financial year, reportedly set up to improve the lives of all Aboriginal and Torres Strait Islander people.

The NIAA are an unnecessary, duplication body set up in addition to the roughly 3000 Aboriginal Corporations, all registered under the CATSI Act that also claim to do the same thing.

But my anxiety levels are rising following this correspondence, containing details of an eleven point plan left behind by a group of 6 or 7 NIAA employees having coffee at a café in the Woden Towns Centre.

Now this coffee shop in Woden is roughly 450 metres from the NIAA office here in Canberra.

Let me read to you the 11 bullet points that were taken from pages left behind by that group of NIAA staff.

It was headed “Early Action / Opportunities for the Voice”.

1. Job quotas: Minimum 10% appointments to be First Nations people for Judges, Magistrates, CW SES, ADF officers, AFP and State Police forces, Corrections departments, Vice Chancellors, and Ambassadors.

2. Universities: No entry tests, and no fees for First Nations people.

3. Old age pensions: Reduced age eligibility for First Nations people “Because we die younger”.

4. Public Housing: First Nations people to have first preference for all vacant public housing across all states.

5. Sport & Music: Entry fees reduced by 50% for First Nations people for any events on public land.

6. Beaches & National Parks: All beaches and national parks to be property of the relevant tribe, and non-first nations people to be charged to use the beaches, parks etc… Revenues to go to relevant tribe.

7. Rivers and Streams: to become property of relevant tribe, and fees for water consumption paid to relevant tribe.

8. Mining Royalties: Same as for water.

9. Income tax: For First Nations people to be 50% of normal rate.

10. Liquor Licensing: All new liquor licenses across Australia to be vetted by Voice.

11. Voice Office: Research / Policy staff to analyse and review all proposed Government policies, legislation and appointments. Same size and pay as DPMC.

The DPMC they refer to stands for Department of Prime Minister and Cabinet.

If the Prime Minister is aware of these initiatives set out by the NIAA, it would appear that Mr Albanese continues to mislead the Australian people over the extent of powers given to the Voice to Parliament.

If on the other hand, the PM does not know about the list, then who from Prime Minister and Cabinet is overseeing the actions of the National Indigenous Australians Agency?

Australians have a right to know the extent of the powers being handed to the Voice to Parliament NOW…. Certainly not whenever this government feels like it.”

bjw678

So the NIAA are an already existing aboriginal advisory body to the prime minister and cabinet, and this body would just duplicate them again.

Also, if that list gets widespread play in the media the vote will be no by a landslide…

Ironic Boomer

First nations people. Nations, plural. Of these first nations, which nation was first? Why do the subsequent nations, who weren’t first, get the same tithes as the first nation?
Does first nations imply that all these nations were formed at the same time?
Can the word ‘nation’ be contextually defined within the agitprop phrase ‘first nations people’.
Does the idea of ‘first nations people’ take into account that some of these tribes l mean nations were at war with each other, some tribes I mean nations even attempting to commit genocide on other tribes I mean nations? Will the tithes reflect these inter tribe I mean nation war crimes and be redistributed among first tribes I mean nations accordingly?

stagmal

the term ‘first nations’ is canadian too lol

abos stole it like they steal everything

Drago

If the media promised to stop saying “a proud (insert tribe name) man..” I reckon it might vote Yes.

That’s another Leftard saying that shits me, as if introducing someone else as just English, means they’re not proud of it?

LSWCHP

Yeah, that shits me to tears. Most of these cunts have absolutely nothing to be proud about either.

bjw678

Not much point leaking to lab/lib when they both support it.

Agent 47

90s Pauline Hanson and 2023 gatekeeping Hanson are night and day. One Nation are running Indian candidates in the NSW election. It’s over for them.

20230323_123740.jpg
Stewie

So in effect the Coalition have handed Labor the starters gun for what will be an extraordinarily divisive constitutional change where we peg Indigenous Australians against all other Australians.

If the voice gets through the play to do is to simply identify as Indigenous if you have the tiniest smidgin of indigenous ancestry.

Who knows it may actually be a Godsend. Radically changing the constitution and political economy, can open radically unexpected ways to exploit the change, not always for the benefit of those who are pushing so hard for it.

Already the base trend of indigenous identification is there – if that is the back door opportunity for Nationalism, in any way shape or form to once again gain power, then brother I be a proud Kamilaroi man!

Guess what? The UN states that mass migration into indigenous lands constitutes cultural genocide. Immigration is one door I can see at being constitutionally challenged thanks to a Nationalistic Voice.

Thanks to the progressives own laws it is nearly impossible to disprove indigenous identity, even with the tinniest skerrick of genetic ancestry. There are a huge number of Colonial descent Australians with some indigenous ancestry, and what is in a name anyway? Would a rose by any other name not smell as sweet?

Last edited 1 year ago by Stewie
The90kwbeast

Yes, show me the incentives and I’ll show you the outcome.

bjw678

 if you have the tiniest smidgin of indigenous ancestry.

like that even matters at this point and is very difficult to prove or disprove even if you want to.

Agent 47

So Craig Kelly’s real estate agent turned senator is now saying being trans is a conservative value. Literally the stone toss meme.

https://twitter.com/senatorbabet/status/1638726497879101440?t=vDao6Edrq2Utnzb4kkDR9Q&s=19

stagmal

in iran they force gays to get sex change ops so they technically wont be gay anymore hahahaha

LSWCHP

Ahhh…in Iran they hang them from cranes in the town centre, until they’re dead. In other countries too. Homosexuality carries the death penalty under Sharia law.

Drago

With a slow down in construction in Australia we might have some cranes spare…

LSWCHP

I like your thinking. Not everything about Islam is bad.

Stewie

I like Charles Hugh Smith, he is a bit too black pilled to consume in more than small doses, but he throws out an interesting idea here:

Each Elite fiefdom seeks to mask its single-minded devotion to its own self-interest behind fine-sounding claims of noble ideals: a Multipolar World (in which we’re free to pillage the planet), Freedom of Speech (controlled by us, of course), Decentralized Finance (which just so happens to be owned and controlled by the few) and a vast spectrum of other cover stories for the enrichment of Elite fiefdoms at the expense of society at large.

https://www.zerohedge.com/markets/welcome-era-warring-elites

single-minded devotion to its own self-interest” i.e. Culture or which stem from Cultural values. Our Egregore manifesting itself.

Drago

Let’s be honest, the grifters and hypocrits have done best over the last few years.

With Albo throwing money at anyone who once owned a boomerang. I’m proposing a mass ‘identification’ of Aboriginality. Last census saw basically a doubling of EZFKA citizens who identified as Indigenous, which was obviously a scam.

Come on, let’s all race shift for cash!!

Aussie Soy Boy

I’m going to identify as boong if they put all this through and encourage everyone I know to do it. Stick it to them.

stagmal

we all abo now

Gruppenführer Mark

We iz kangz?

Drago

I really need a Meme Lord to get that clip of Lidia Thorpe crawling away, and have her crawling back to Northcote via space to some funky music..

https://twitter.com/JebraFaushay/status/1638729024397627392?s=20