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"The Mother of All Bank Runs"

  1. SparklingJewel profile image67
    SparklingJewelposted 7 years ago

    so, can any of you experts give me the low down on this article's information???

    The Mother of All Bank Runs
    by Bill Sardi
    Fri, Aug 21st, 2009 12:00:00 am

    Source:  LewRockwell.com

    America is just a few days away from a possible day of reckoning. I again call attention to this day, August 25, when the Federal Deposit Insurance Corporation issues its 2nd Quarter report for 2009 on the state of health of American banks.

    It has not particularly alarmed Americans that its growth and prosperity have been built upon debt. The American public is a bit desensitized, particularly since the Y2K threat fizzled. We must wait and see how Americans respond to the upcoming FDIC report.

    The following charts tell the story. There are roughly 8400 American banks that set aside a small portion of their profits to aggregately insure bank depositors should their local bank fail. A plethora of bank failures has depleted the FDIC reserve fund from $52.8 billion in 2008 to $13 billion in the 1st Quarter of 2009. (See www.LewRockwell.com for the rest of the article and charts)

    Bill Sardi [send him mail] is a frequent writer on health and political topics. His health writings can be found at www.naturalhealthlibrarian.com. He is the author of  You Don’t Have To Be Afraid Of Cancer Anymore.

    Copyright © 2009 Bill Sardi Word of Knowledge Agency, San Dimas, California. This article has been written exclusively for www.LewRockwell.com and other parties who wish to refer to it should link rather than post at other URLs.

  2. ledefensetech profile image81
    ledefensetechposted 7 years ago

    Something is going to happen, that's for sure.  Trying to decipher this stuff is a lot like intelligence work.  LewRockwell.com is a good source for straight up, tell it like it is, reporting on how the government is screwing all of us, while distracting us with useless programs like universal health care.

    Lew Rockwell isn't the only place I've seen this sort of thing before.  Granted it's a sales letter but:

    Also there was this post in the forums here:  http://hubpages.com/forum/topic/19247

    Once is happenstance, twice coincidence, three times enemy action, or so the saying goes.  We here have three independent sources saying the same thing.  I'd put a lot of weight on it.  If I had to guess, and I stress it a guess at this point, we may see the FDIC go bankrupt and a run on banks commence.  This is at a time in which the banks themselves are in trouble because not only are there reserves at an all time low, but most of their money is tied up in bad mortgage loans.  So we may be about to see something central bankers tell us is impossible in a central banking system:  a run on the banks.

    1. bgamall profile image85
      bgamallposted 7 years ago in reply to this

      While I don't know if a run will occur, certainly Ben Bernanke is primarily a treasury bond salesman. What better way would it be to get folks to flee to treasury bonds, now that there is little demand for them from the Chinese.

      One thing though, the FDIC does have a 100 billion dollar credit line. So it may be something later that causes the market to tank so that Bernanke can sell his bonds.

      1. ledefensetech profile image81
        ledefensetechposted 7 years ago in reply to this

        Try 13 billion.  http://dailyreckoning.com/the-banking-crisis-cometh/

        Watching the Fed and Treasury run around like they are would be funny if the implications for the rest of us weren't so dire.  These people really have no idea what they are doing.  They've been educated in a dogmatic form of economics that they hold to as much as any committed Marxist still holds to communism.  People need to wise up and see that what they are doing won't help people in general, it will only help their banking buddies.

        1. someonewhoknows profile image33
          someonewhoknowsposted 7 years ago in reply to this

          I think they know what they are doing.bringing America into a depression.

        2. someonewhoknows profile image33
          someonewhoknowsposted 7 years ago in reply to this

          I think they know what they are doing.bringing America into a depression.

          1. ledefensetech profile image81
            ledefensetechposted 7 years ago in reply to this

            There's no percentage in bringing America into a depression.  Depressions by their very nature are destructive.  The old way of doing things is gone forever and these scions of government power constantly try to keep the clock from moving forward.  That's what made our last Depression Great.

            Besides this sort of thing has happened before, even without the Fed.  Back in the late 19th century it was railroads, not housing, but the effects were the same.  The culprit, then as now, was government subsidization of vote buying programs.  Today it was housing, then it was railroads.  You think people would learn, but they don't really teach history in school anymore.