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New Worldwide Financial System/Banking Crisis is Upon Us: Mannarino
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By Gregory Mannarino, TradersChoice.net
Once again! The global financial system finds itself in crisis. Indeed, a new full-on worldwide financial system/banking crisis is upon us. (And it’s just getting started).
Let us consider…
Is it even remotely possible that banking regulators and central banks simply missed this? Meanwhile, We the People saw this coming? Is that even possible? Really? How about no.
There is absolutely no feasible or realistic way that banking regulators and central banks could have not seen this coming from miles away, and here are just a few reasons why.
Let’s start with this. Every bank is required to submit financial reports to regulatory authorities every quarter and moreover, even without seeing these reports, it’s plainly obvious that banks were failing because of just three things.
Number 1. No deposits,
Number 2. No loans, and
Number 3. No deals.
I brought these three things listed above up to the attention of those who follow my work beginning no less than eight months ago.
Now, just to put this into further perspective. The average savings rate, which is calculated as the percentage of cash which people put away after expenses, is 8.84 percent. Again 8.84 percent is the average. Well today, the savings rate has dropped to just 4.7 percent (and personally I believe that this number is inflated). This 4.7 percent savings rate appears inflated to me because currently more and more people are becoming dependent on credit card usage. (Credit card debt has exploded, rising 11 percent in just the last year).
With respect to “no loans and no deals.” Year over year mortgage applications have dropped a record 43 percent, and bank refi’s have dropped another record 74 percent. And on top of all this, loan delinquencies across the board continue to skyrocket.
But it gets even worse.
People are withdrawing cash from both their money market and savings accounts at a record pace.
So, no… It is not possible, even in the remote! That those who stand in charge of the world economy, the banking system, and the markets just missed all this. Therefore, it is deliberate. In fact, it’s more than just deliberate!
This entire banking system crisis/global financial system collapse has been perfectly orchestrated and engineered by central planners/banks. But why?
The question of why comes down to just a few things. Central banks are “rearranging the deck chairs” so to speak, and it comes down to a consolidation of the banking system in preparation for the rollout of an entirely new central bank digital/cashless system.
It is also about a consolidation of power.
Understanding that even the Super Banks are also facing those same issues as the smaller regional banks, with “no deposits, no loans, and no deals.” That situation, combined with rising loan delinquencies. Let’s not forget the flight of cash from people who are being forced to deplete their savings and money market accounts just to make ends meet in this ongoing inflationary environment.
What better way could central planners use to re-liquify the large Wall Street Super Banks than to foster a meltdown of the smaller regional banks who will have no choice but to be forced into selling their assets to the mega banks at fire sale prices?
Moreover, foster runs on the smaller banks with people closing their accounts only to open new ones in the more “secure” Super Banks. (With regard to the $30 billion dollar “rescue” for First Republic Bank, as it is being sold to the public via the mainstream media. This is no “rescue.” This $30 billion is to cover withdrawals, as there is currently a run on that bank).
This is a deliberate culling of the smaller institutions to consolidate power and control into fewer mega institutions. It’s a “rearranging of the deck chairs” in preparation for the rollout of Central Bank Issued Digital Currency.”
Let us remain mindful that for many months central banks have been “on a mission” to aggressively raise rates into what is a cratering global economy. Raising rates under the guise that “this is how they will stop inflation,” which continues to rise. The truth is this. Central banks never, EVER, had any intention to slow, stop, or reverse inflation… because if they really wanted to stop, slow, or even reverse inflation, all they would have to actually do is contract the money supply by raising the capital reserve requirements of banks.
Central banks, by raising rates have deliberately caused the world economy to slow dramatically by crushing the consumer, and therefore set the stage for the current banking crisis.