1930s bank runs are back; As many as 150 U.S. financial institutions could fail in next year
Fears of U.S. bank failures reached a fever pitch not witnessed since 1930 last week, according to a report in Jerome Corsi's Red Alert.
Concerns intensified with the Federal Reserve and Treasury combining to bail out Freddie Mac and Fannie Mae with abundant loans and an offer to buy stock.
Next came the federal takeover of IndyMac, following Sen. Chuck Schumer's, D-N.Y., ill-advised public release of his June 26 letter to the Office of Thrift Supervision and the Federal Deposit Insurance Corporation expressing concern over the bank's solvency.
The bailout of Freddie Mac and Fannie Mae will not be complete until Congress approves. Many analysts question whether the bailout is a good idea.
Wall Street Journal editorial writer Holman W. Jenkins, Jr. made a strong argument that Freddie and Fannie ought to be privatized and their assets sold, with the goal of putting both quasi-governmental entities out of business once and for all.
What is certain is that more bank failures are likely in the coming months, as the crisis resulting from the bursting of the mortgage bubble works its way through billions of dollars in near worthless or deeply depreciated collateralized mortgage securities held by U.S. financial institutions in their asset portfolios.
As many as 150 out of the 7,500 banks in the U.S. could fail in the next 12 to 18 months.
Is the FDIC keeping a secret list of 90 troubled banks?
Fears of U.S. bank failures reached a fever pitch not witnessed since 1930 last week, according to a report in Jerome Corsi's Red Alert.
Concerns intensified with the Federal Reserve and Treasury combining to bail out Freddie Mac and Fannie Mae with abundant loans and an offer to buy stock.
Next came the federal takeover of IndyMac, following Sen. Chuck Schumer's, D-N.Y., ill-advised public release of his June 26 letter to the Office of Thrift Supervision and the Federal Deposit Insurance Corporation expressing concern over the bank's solvency.
The bailout of Freddie Mac and Fannie Mae will not be complete until Congress approves. Many analysts question whether the bailout is a good idea.
Wall Street Journal editorial writer Holman W. Jenkins, Jr. made a strong argument that Freddie and Fannie ought to be privatized and their assets sold, with the goal of putting both quasi-governmental entities out of business once and for all.
What is certain is that more bank failures are likely in the coming months, as the crisis resulting from the bursting of the mortgage bubble works its way through billions of dollars in near worthless or deeply depreciated collateralized mortgage securities held by U.S. financial institutions in their asset portfolios.
As many as 150 out of the 7,500 banks in the U.S. could fail in the next 12 to 18 months.
Is the FDIC keeping a secret list of 90 troubled banks?
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