Federal Reserve Prints Another $2 Trillion In Fake Fiat To Bail Out Financial Terrorists, Further Depreciating Dollar – zoohousenews.com
- March 18, 2023
- No Comment
(Natural News) To bail out the criminal bankers, the private Federal Reserve is expected to inject another $2 trillion into the United States banking system, which is sure to trigger hyperinflation.
Strategists at JPMorgan Chase, one of America’s top banks, have been discussing what the Fed’s new “emergency” lending program will entail after the collapse of the Silicon Valley Bank (SVB) and numerous other lenders.
Dubbed the Bank Term Funding Program, this emergency mechanism is designed to sweep under the rug all the financial corruption that got us into this mess in the first place, and punish the common man with even higher inflation and lower living standards.
“Utilization of the Fed’s Bank Term Funding Program is likely to be large,” JPMorgan strategists wrote in a note to clients on Wednesday.
(Related: Check out our previous coverage of the financial “death spiral” that’s taking place.)
US banks collectively sit on $620 billion in unrealized losses, FDIC chairman warns
The reason these JPMorgan analysts are throwing away the $2 trillion figure is because that’s the stated maximum usage amount — at least until those in power decide to raise it even further, much like they do with the debt ceiling every time is reached.
Currently, the US banking system is said to have total reserves of around $3 trillion, most of which are held by the largest banks. Smaller banks, many of which are in even worse shape than the big banks, are the most likely candidates to use the Bank Term Funding Program.
SVB was considered a medium-sized bank, as were the other banks we were told were failing around the same time. SVB suffered a $1.8 billion loss on a forced liquidation of $21 billion in bonds, prompting the now-failing bank to ask for $2.25 billion in new capital to rebuild the to close the gap.
While this was all taking place, depositors rushed to withdraw their money, which we now know preceded the total collapse of the SVB. And without urgent fresh money from the Fed, many other banks will follow suit and probably would have done so by now.
“Unrealized losses on securities have significantly reduced the banking industry’s reported equity,” said Federal Deposit Insurance Corporation (FDIC) Chairman Martin Gruenberg, who went on to warn that U.S. banks as a whole are on unrealized losses on their bond holdings of around $620 Billions of dollars sit .
Unrealized losses of this magnitude weaken the ability of all affected banks to meet their liquidity needs as less cash is generated on sale, typically as regulatory capital levels fall below required thresholds.
Despite all of this, Gruenberg wants everyone to continue to believe that America’s banks are “generally in strong financial health and have not been forced to take losses through the sale of impaired securities.”
At some point, however, these banks will have to realize these losses – or at least they should have to realize these losses. If the Fed continues to pump emergency liquidity onto their balance sheets, these banks will artificially survive for a while while Americans are forced to foot the bill.
“The new Fed funding facility gives banks an extra layer of security by allowing them to borrow from the Fed for a period of one year, using their securities as collateral at face value rather than market rates,” said Tom Ozimek, who writes for The Epoch Mal.
As long as the private Federal Reserve and other central banks are allowed to print an endless supply of “money” indiscriminately and with restraint, the rampant slavery of the common man will never end. To keep up with the latest financial news, visit MoneySupply.news.
Sources for this article are: