Regional banks in freefall

In the wake of the banking crisis in 2008, 25 banks failed. So far in 2023, only a few banks have failed. However, if you consider the actual dollar amounts that were involved in the failures, more money has been lost already in 2023 than in 2008. The size of the recent banks that have failed greatly exceeds the banks that failed in 2008.

Regional banks appear to be getting hit the hardest now, because many are transferring their deposits to a bank that they think is “too big to fail.” Nonetheless, even those big banks are seeing a drop in deposits as depositors pull their money out. It makes me wonder where the money is actually going. To foreign banks? Under the mattress? Buying gold and silver?

Fed Chairman Powell has vowed to raise interest rates until he breaks something. The breaking began in earnest in mid-March with the collapse of Silvergate Bank (March 9) and Silicon Valley Bank (March 10), and Signature Bank (March 12). More recently, First Republic Bank collapsed last weekend, and on Monday it was announced that FRB was purchased by JPMorgan.

This purchase involved an agreement that half the liabilities for the bank would be paid for by the FDIC, and on top of that the FDIC gave JPM a loan of $50 billion. Considering the fact that the FDIC only had about $127 billion in its coffers to handle more bank failures yet to come, this amounted to about 40 percent of the FDIC’s insurance fund. So then Treasury Secretary Janet Yellin told us yesterday that the government could run out of money as soon as June 1^st, a month earlier than earlier projected.

https://www.bbc.com/news/world-us-canada-65452444

So this all ties into the dispute over raising the budget ceiling that has been going on since the end of January.

If more banks fail this month, this would put more pressure on congress to raise the debt ceiling. The debt ceiling itself is a farce, as everyone knows that it has to be continually raised under the present system. The only hope to stop it is to change the system from a debt-based monetary system to an asset-based system. Essentially, the Federal Reserve Act of 1913, which put us all into bondage to Mystery Babylon and launched us into the Laodicean Age, needs to be altered or repealed altogether.

Here is a list of banks that are now failing. The worst is listed first.

1.     East West Bancorp (EWBC)

2.     M&T Bank (MTB)

3.     Western Alliance Bancorp (WAL)

4.     Comerica Inc. (CMA)

5.     Zions Bancorp (ZION)

6.     PacWest Bancorp (PACW)

7.     KeyCorp (Key)

If your bank is among them, you should hope that it fails first before the FDIC runs out of cash to bail out depositors. The FDIC insures bank deposits up to $250,000, of course, but it has ignored the Dodd-Frank law that forbids bailouts above and beyond $250,000. For this reason, along with the vast amounts of cash sent to Ukraine, it is fast running out of money.

It is certain that when the FDIC runs out of money, the government will give it more money, unless, of course, the debt ceiling is not lifted. I think it will be lifted, one way or another, and so we will then enter a new round of money creation, with its associated problems of inflation. The Fed won’t be able to solve the inflation problem by raising interest rates and breaking banks, because the bank failures themselves will be solved by creating more money. Powell’s “solution” (raising interest rates) will actually cause more inflation as the government creates more money to bail out the banks that Powell has broken.

I believe that we are reaching the end of an era. The Federal Reserve system itself has reached its apex, where there is too much money (inflation) and too much debt simultaneously. Every dollar today was created out of nothing and loaned to the government as a debt with interest. So the more money that is created, the more debt there is. In the present system, money is not wealth but debt. Eventually the debt increases to the point of bankruptcy or Jubilee. We are fast reaching that point in time. The year 2024 comes to mind.

I believe we are also seeing the apex of Babylonian culture that is being pushed on the world. This culture is supported by the financial system, so as it crashes, so will this ungodly culture. The Euphrates has dried up, and the troops of Cyrus and Darius, the kings from the east, are in the process of taking over Babylon. Recall that the sixth angel dried up the Euphrates to prepare for the seventh angel which overthrows Babylon (Revelation 16).

So the disruptions we are now seeing in the world are God’s way of setting us free from the captivity of Mystery Babylon. We must always keep this in mind and believe the Scriptures that give us hope while causing fear among the unbelievers. The events in our time were in the divine plan from the beginning. Nothing is out of His control. Events are only getting out of the control of the Babylonians, who are trying desperately to set up a new system that will perpetuate their power into the age to come. But God has another plan for us, and it is a good one.

Here are some charts that may be of interest to some of you.

https://www.zerohedge.com/markets/st-just-hit-fan-across-markets-regional-banks-freefall