In the last two months, four major banks have failed because they lost the confidence of their customers, who took their deposits elsewhere. The truth is that many banks thought interest rates would be zero forever, lent long, locking in low yields, and now find themselves unable to pay a market rate of interest on their deposits, meaning they cannot profitably fund their assets.
‘Ban short selling and ban the truth’
17 May 2023
Posted by Barry Norris