by Michael

It ought to have been obvious to everybody that the darkish clouds on the horizon would carry a storm, and now rain is furiously falling throughout us.  Our total system is being viciously shaken, and the dominoes are going to proceed to fall within the months forward.  As soon as Silicon Valley Financial institution and Signature Financial institution went down, all of us knew that it was only a matter of time earlier than extra massive banks began to implode.  Now First Republic has failed, and over the weekend U.S. regulators had been working very arduous to rearrange a sale…

U.S. regulators have been making an attempt to clinch a sale of First Republic over the weekend, with roughly half a dozen banks bidding, sources stated on Saturday, in what’s prone to be the third main U.S. financial institution to fail in two months. Guggenheim Securities is advising the FDIC, two sources aware of the matter stated on Saturday.

As a I write this text, that also hasn’t occurred but.

However it may occur at any second.

When a sale is lastly introduced, the FDIC can be anticipated to inform us that it has seized First Republic…

The Federal Deposit Insurance coverage Corp is anticipated to announce a deal on Sunday night time earlier than Asian markets open, with the regulator prone to say on the similar time that it had seized the lender, three sources beforehand advised Reuters.

They’re making an attempt to time every little thing in order that as little panic as potential is created.

However I really feel actually badly for people who owned First Republic inventory.

It was going for about 120 {dollars} a share in the beginning of March, and as soon as the financial institution is seized by federal regulators it’s going to virtually actually be nugatory.

That’s how briskly these items can occur.

Extra dominoes will fall all through the remainder of 2023, and also you don’t wish to be caught holding the bag.

So do what it’s good to do when you nonetheless have time.

When the Federal Reserve determined to go nuts with their price hikes, all of us knew that this is able to put huge stress on the banks, and that’s exactly what has occurred.

We additionally knew that larger charges would crush the housing market, and final month pending residence gross sales dropped far more than anticipated…

March is with each toes within the spring promoting season, when residence gross sales bounce and when costs transfer larger, and the place every little thing appears rosy for a couple of months, it doesn’t matter what, after the dreariness of winter.

So, effectively then, right here we go once more. Pending residence gross sales – that are “a forward-looking indicator of residence gross sales primarily based on contract signings” – fell by 5.2% in March from February, in accordance with the Nationwide Affiliation of Realtors in the present day, thereby annihilating the little-bitty achieve in February that had despatched all of the headlines abuzz with hype.

If you’re trying to promote a house, I’d suggest doing it shortly, as a result of costs are prone to go fairly a bit decrease from right here.

In the meantime, large firms are shedding employees everywhere in the nation at a really horrifying price.  Actually, we simply discovered that Jenny Craig is on the brink of conduct “mass layoffs” because it prepares to wind down operations…

Jenny Craig has alerted workers to potential mass layoffs because it begins “winding down bodily operations” and hunts for a purchaser, in accordance with communications the weight-loss firm despatched some staffers this week.

The corporate stated it “has been going by a gross sales course of for the final couple of months,” in accordance with a doc titled “Jenny Craig Firm Transition FAQs” that was dated Tuesday and supplied to NBC Information.

I don’t know why, however I’m unhappy to see Jenny Craig go.

Maybe it’s due to all of the Jenny Craig commercials that I watched after I was youthful.

Joe Biden retains telling us that the economic system is doing nice, however we simply hold seeing one massive firm after one other go stomach up…

For 2009 there have been 118 bankruptcies by April. In Covid-impacted 2020, there have been 71 bankruptcies. In 2023 there have been 70.

That is the third worst begin to the 12 months since 2000.

This didn’t must occur.

If our leaders had not flooded the system with cash, inflation by no means would have gotten uncontrolled.

And if inflation had by no means gotten uncontrolled, officers on the Fed by no means would have needed to recklessly hike rates of interest.

Sadly, we now have an actual nightmare on our palms at this level, and there’s no turning again now.

Not too way back, a prankster that was impersonating Ukrainian President Volodymyr Zelensky was in a position to utterly idiot Federal Reserve Chairman Jerome Powell throughout a video chat.

Throughout their dialogue, Powell brazenly admitted that elevating charges may push the U.S. economic system right into a recession…

Federal Reserve Chairman Jerome Powell earlier this 12 months held a video chat concerning the world economic system with somebody he thought was Ukrainian President Volodymyr Zelensky. Besides it wasn’t Zelensky. Powell seems to have been pranked.

In clips posted on-line of the January dialog, Powell mentioned world politics and the economic system. He stated he supported the Ukrainian individuals however was restricted in methods he may assist. And Powell stated a recession was doubtless coming within the not-too-distant future and divulged the Fed’s plans to lift charges in 2023.

Powell additionally admitted that extra price hikes are deliberate though he is aware of that they are going to trigger much more ache.

And truly the Federal Reserve is anticipated to lift charges one other 25 foundation factors later this week.

It’s completely suicidal to maintain elevating charges because the economic system plunges into a significant downturn, however they’re doing it anyway.

Have they gone utterly mad?

It’s virtually as if they’re purposely making an attempt to create the kind of financial horror present that I’ve been relentlessly warning about.

If officers on the Fed had any sense, they might be lowering charges as quickly as potential.

Sadly, that’s merely not going to occur, and so we are going to quickly see many extra dominoes begin tumbling over.