It’s Probably Nothing

16 Replies to “It’s Probably Nothing”

1. Looks like decades of profligate spending, debt, money printing, and risky business has finally broken the financial system.

   The chickens are coming home to roost. This house of cards is going to collapse.

   1. Indeed. The concept that holding someone else’s debt is your asset has its caveats and limits, eh?

      1. Someone is making money. Who?

         1. The guys who sold their shares the day before yesterday probably made out okay.

         2. People who are shorting the banks are making money.

            Everyone else is losing. There are no winners when a company goes bankrupt. The employees lose, their creditors lose and in the case of mega banks that need bailouts, the taxpayer loses.

            1. But the trustees and bankruptcy lawyers make out like bandits.

            2. The people who bought put options are winning way more than the guys who are shorting. They’re much more leveraged.

            3. Now I once made out with a bandit, but frankly I wasn’t that impressed.

   2. What are you talking about!? Joe Bidinh and his hand-picked leftist Fed Chief Jerry Powell are engineering a “soft landing” … a “transitory landing” … oh fkcu it !! … you’re all gonna have to share the pain with Ukraine! And share the pain of our energy “transition”!

2. It’s probably nothing orrrr it’s probably intentional.

3. To put Cdn banks in perspective, the following are market cap of banks in USD billions:
   Deutsche Bank $19
   Barclays $26
   HSBC $134
   UBS $59 (taking on the burden of Credit Suisse)
   Citi $83
   Bank of America $214
   Wells Fargo $136
   JP Morgan Chase (the Big Daddy) $369

   CIBC (smallest of Cdn big banks) $37
   TD $102
   RBC $127
   BMO $58
   BNS $56
   National Bank $23

   Cdn banks have market cap over $US 400 billion which is totally abnormal relative to the much larger economies (US, UK, Germany).

   1. Canada only has 5 big banks. They have 90% of Canada’s deposits.

      In the US we have around 9,000 banks and Credit Unions – about an equal number of each. Where I live in Montana we have 10 banks, 2 credit unions but only one big bank – Wells Fargo, but the Wells branch only has about a 5% market share here.

      The Canadian model is much more like the rest of the world than the United States model.

4. I bought some gold a few years ago when it was cheap. It’s going through the roof lately. Of course, I wish I had bought more. The only two things that never go to zero are real estate and gold. Everything else is a just a bit of hope, faith and perhaps a splash of greed.

   1. Bullets , grub , booze , oil/ng and rope never go to zero either.

   2. I have some silver but I do not want to try and eat it.

5. Don’t worry everyone, Jim Cramer said Deutsche Bank “is fine.”