Federal Reserve to Print Another $2 Trillion in Fake Fiat Funny Money to Bail Out Financial Terrorists, Further Devaluing Dollar
The comments below are an edited and abridged synopsis of an article by Ethan Huff
In order to save the banks, the Fed is expected to inject another $2 trillion into the banking system, which is certain to trigger hyperinflation.
The Bank Term Funding Program is designed to hide the financial corruption that led to this mess in the first place, punishing the common person with higher inflation and a lower standard of living.
Analysts are throwing out the $2-trillion figure because that is the maximum usage amount available—at least until the powers-that-be decide to up it even more, much like they do with the debt ceiling.
Currently, the US banking system estimates reserves of $3 trillion, mostly held by the largest banks. Smaller banks are the likeliest candidates to take advantage of the Bank Term Funding Program.
Silicon Valley Bank was a mid-sized bank, as were the others that collapsed around the same time. SVB took a $1.8 billion loss on a forced $21 billion bond liquidation; it then asked for $2.25 billion in new capital to fill the gap.
As this was taking place, depositors rushed to withdraw their money, leading to the total collapse of SVB. And without emergency cash from the Fed, many other banks will follow suit.
Unrealized losses of this magnitude weaken the ability of all affected banks to meet their liquidity needs because less cash is generated when the sale occurs, typically because the amount of regulatory capital falls below required thresholds.
Despite all this, America’s banks are said to be in a strong financial condition and have not been forced to realize losses by selling depreciated securities.
At some point, however, these banks will have to realize their losses. If the Fed continues to inject liquidity into their balance sheets, they will survive a little while longer while Americans are forced to pick up the tab.
As long as the Fed and other central banks are allowed to indiscriminately print an endless supply of currency, the usurious slavery of the public will never end.