The Great Recession Blog

We can now actually see with visual metrics what it looks like when the Fed keeps pushing against a badly broken job market that keeps pushing back. Because it doesn’t understand the broken labor market, the Fed is killing us.

Ever since last summer Zero Hedge has been pounding the “Fed pivot” fantasy as if it is going to happen — almost as if they want to entice the stupid stock market to keep chasing the fantasy. When it became obvious the Fed was steaming ahead with its inflation battle, ZH backed off a little….

Pull up a lawn chair to watch our head regulators get their butts chewed off by a congress that has let the Fed slide on regulation for years. In this grand game of CYA, the inquisitors tread artfully because they are as much responsible for oversight failures as the regulators.

The contagion of collapse continues. As I suggested would happen earlier this week, the crazy buyout engineered in Switzerland as one of the oldest banks on Earth collapsed has spread to equally ancient, gargantuan and zombified Deutsche Bank, and that’s just what’s happening on the surface as the whole global financial structure shook hard again today.

Back in the distant days of black-and-white television, when you had to get up periodically in the middle of your show to turn a little knob labeled “vertical hold” or another called “horizontal hold” to stop the flippin’ picture on the tube from rolling by, a fringy show called The Outer Limits …

There is no excerpt because this is a protected post.

Just a handful of recent bank collapses with the help of Janet Yellen’s recent testimony in congress have spread shockwaves beneath the entire surface of global banking. Several publications are now joining in the harsh criticism I brought against Yellen …

Before you read the following quote from a Fed employee, you had better set your coffee, beer or wine down so you don’t spray all over the carpet or the person next to you. This is how dense the Fed is when it comes to learning from its own mistakes after it first tried quantitative tightening in 2018 and failed miserably:

Wow! What a day. What an upside-down world! Eleven megabanks joined hands to rescue their flailing competitor, of all things. Either they are especially nice banks — all of them — or that is how systemic they see the failure of these recent mid-sized and smaller regional banks. Each megabank made deposits in the billions […]

Now that the Big Bond Bust has happened, as promised here, everyone wants to know how it happened. I want to know how on earth so many of them didn’t know it was going to happen — especially those who were supposed to be watching for this … including the regulators who were actively causing it?

Barney Frank, whose name is on the Dodd-Frank banking regulation that came out of the Great Recession, is a board member at Signature Bank, which was just dissolved by the Fed and FDIC. While good ol’ Barn pretended to impose tough banking regulations, he made sure the bank he is now a part of would […]

It’s contagion all over the place already. So many are asking if the wipeout of two banks, including the nation’s 16th-largest, is a sign of contagion that the worries have caused US Treasurer Janet Yellen to assure the nation again and again that the banks are more solid than ever and that the Treasury …