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The International Bank Heists Have Begun

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If anything, the monthlong debacle shows the value of socionomic thinking over that of mainstream economic wisdom. Most analysts routinely fail to uncover economic trouble, because they fail to recognize the stock market’s incredible value as a barometer of social mood. “It was a lightning bolt out of nowhere,” a 50-year old Cypriot taxi driver tells the Wall Street Journal. In the near future, other large and small banks across the eurozone will be zapped; those deposits, too, will seemingly disappear in a flash.'

Hopefully, people here might get to thinking about the what 'putting your money into the bank' actually entails.

We're already at the point where interest rates are so low that there's barely any point in lending your cash to the bank vs putting it under your mattress, taking into account counter-party risk. Actually, inflation is such that there's now no point in actually keeping sterling credit beyond what you need to cover day to day expenses.

One does have to wonder just how the banking system is going to remain viable as more and more people realise this. Presumably the future of bank funding is going to be central bank provided funds via money printing, making holding cash/bank credit even less appealing. We're on a downward spiral.

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Hopefully, people here might get to thinking about the what 'putting your money into the bank' actually entails.

We're already at the point where interest rates are so low that there's barely any point in lending your cash to the bank vs putting it under your mattress, taking into account counter-party risk. Actually, inflation is such that there's now no point in actually keeping sterling credit beyond what you need to cover day to day expenses.

One does have to wonder just how the banking system is going to remain viable as more and more people realise this. Presumably the future of bank funding is going to be central bank provided funds via money printing, making holding cash/bank credit even less appealing. We're on a downward spiral.

The future is much higher rates IMO, and many many banks going pop, things could tick along just fine for Joe Sheep even if about a third of Europes banks fell over? There was an American fund guy on Bloomberg some time ago saying that a lot of European banks would have to be let go as the credit bubble gets cleared, I think the Cyprus "bail-in" was the start.

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The future is much higher rates IMO, and many many banks going pop, things could tick along just fine for Joe Sheep even if about a third of Europes banks fell over? There was an American fund guy on Bloomberg some time ago saying that a lot of European banks would have to be let go as the credit bubble gets cleared, I think the Cyprus "bail-in" was the start.

we just gotta keep those Dominos standing....there are not enough tanks to cover all streets.

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Square pegs, round holes. Nobody in the EU will tell you what those round holes actually are because most cases are...special

Undemocratic, theft. The EU has achieved all the necessary policies for the right wing to flourish. Banks are nothing more than a syndicate of corruption

Edited by sammysnake

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Hopefully, people here might get to thinking about the what 'putting your money into the bank' actually entails.

We're already at the point where interest rates are so low that there's barely any point in lending your cash to the bank vs putting it under your mattress, taking into account counter-party risk. Actually, inflation is such that there's now no point in actually keeping sterling credit beyond what you need to cover day to day expenses.

One does have to wonder just how the banking system is going to remain viable as more and more people realise this. Presumably the future of bank funding is going to be central bank provided funds via money printing, making holding cash/bank credit even less appealing. We're on a downward spiral.

A good summary. I'm in the process of changing my finances to get down to a cash float and emergency fund only.

When the trust finally goes, some type of asset backed currency will be required. The older I get, the more I find it amazing that an unbacked currency works at all. I guess it relies on mass inertia.

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I'm often amazed at the attitudes on HPC with regards to the banks.

A lot of people are of the opinion that the banks should all be made bankrupt.

"Yay let's see the banks collapse"

No let's see SOCIETY collapse... that's what they are talking about.

This is part of the problem with the system... if the bits we don't need collapse they will take all the useful stuff with them.

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  • 239 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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