Radical Democrats have been desperately attempting to gaslight the American people concerning the status of the economy, telling us over and over that things are just peachy keen, despite the fact we’re spending crazy amounts of money for basic goods and services. Liberals are doing everything they can to get us to gaze off into another direction and ignore the awful conditions we’re experiencing every day.
But when you refuse to go along with the program and actually examine the facts, things look pretty bad. You can’t ignore the numbers. They won’t allow it. No, they will shove the truth before your eyes and make you accept that the ride you’re on is about to get really bumpy.
A good example of this is what’s happening right now to banks. According to The Economic Collapse, a brand new report released by the FDIC says there are now sixty-three “problem banks” in the U.S. alone, and that, collectively, these institutions have a whopping $517 billion dollars in unrealized losses.
According to the Federal Deposit Insurance Corporation’s first quarter report, the US banking system is sitting on a collective $517 billion in unrealized losses and has 63 “problem banks.”
Those losses have been sparked primarily by a surge in interest rates over the past two years, which have driven down the price of fixed-income securities held by banks.
Unrealized losses held by banks increased by $39 billion in the first quarter relative to the fourth quarter of 2023.
“Higher unrealized losses on residential mortgage-backed securities, resulting from higher mortgage rates in the first quarter, drove the overall increase,” the FDIC said.
It would be nice to know which banks are on the aforementioned list, wouldn’t you agree? Alas, just like Gandalf the Grey from “Lord of the Rings,” the FDIC is keeping its secrets. Writer Daisy Luther recently pointed out that the FDIC isn’t going to release this information because their knees are knocking over bank runs.
We don’t get to know which banks are in trouble.
It could be my bank. It could be yours. Or maybe it’s not.
Are they big banks? Small ones?
The list is confidential to inhibit the likelihood of bank runs finishing off these institutions.
So we just don’t know.
If regular folk like you and me knew the truth, you’d see a ton of bank runs all across the nation, kicking off first thing the following morning. And that’s actually sort of comforting. Banks are continuing their rapid slide downhill due to the absolute ton of commercial real estate loans that are spoiling faster than rotten meat left in the Arizona sun.
It’s clear that we’ve never faced a crisis of this magnitude before.
The CRE sector faces the triple whammy of falling prices, falling demand, and rising interest rates. The post-pandemic rise of telecommuting and work-at-home programs crushed demand for office space. Vacancy rates in commercial buildings have soared.
This has put significant stress on commercial real estate companies. The biggest bankruptcy in 2023 was the failure of the Pennsylvania Real Estate Investment Trust. The company had loaded up with more than $1 billion in liabilities.
The collapse of the commercial real estate market could easily spill over into the financial sector. That’s because a lot of loans are coming due.
According to the Mortgage Bankers Association, around $1.2 trillion of commercial real estate debt in the United States will mature over the next two years.
The bad news is, we’re going to see a whole heck of a lot of financial institutions go the way of the dinosaur over the course of the coming months and even years. Pray that your money isn’t in one of them. Or else you’re going to be having a very, very bad day.
In the meantime, a newly completed survey revealed that almost two-thirds of all small businesses in the U.S. are just barely hanging on by the skin of their teeth.
A new survey reveals that over two-thirds of small business owners are terrified of the state of the economy under Joe Biden’s watch, fearing that current conditions and ongoing downward trends will lead to them having to close their businesses.
As reported by the Daily Caller, the poll from the Job Creators Network Foundation (JCNF) shows that 67% of small business owners maintain such fears about the economy as it stands today, marking a 10-point increase from sentiments two years ago. In the same poll, participants’ perceptions of economic conditions for their own businesses fell from 70.2 to 68.1. Perception of national conditions fell even more drastically, from 53.2 to 50.4.
You might be one of those kind of people who are apolitical and really wrapped up in your own life, so much so that what happens to small businesses isn’t even a blip on your radar.
Well, you need to wake up and start caring. Almost half of the workers in this country are employed by small businesses.
Forbes estimates that at least 46% of all employees in the United States, around 61.6 million people in total, are employed by small businesses.
It’s a bad omen to see household surveys showing the economy to have parted ways with 408,000 jobs last month. And that’s probably the tip of the ice berg. Retail businesses are also struggling pretty bad at the moment.
Mark B. Spiegel recently discussed this struggle and how many retailers are experiencing bad sales numbers.
The U.S. economy seems to finally be cracking. This month a slew of retailers (off the top of my head: Target, Lowe’s, Macy’s, Kohl’s, Best Buy and Foot Locker) reported negative year-over-year sales comps, and that’s before adjusting for the inflation that makes them 3% to 4% more negative in “real” terms. Others (Dollar General and Burlington) reported same-store sales comps in the +2% range, but that too was negative when adjusted for inflation, while Walmart and Nordstrom comps managed to roughly keep pace with inflation, but were unable to exceed it.
Not all that long ago, once of the biggest retailers in the business was Walmart, regularly pulling in massive sales numbers all over America. And now they are shutting down stores.
WALMARTS are closing across the country – and retail experts say the cuts are signals of a bleak future for shoppers.
The multi-million dollar corporationhas closed nine stores so far this year, which could be a warning sign for other retail giants.
All of this to say that you shouldn’t buy the junk the mainstream media and the Democratic politician puppet masters pulling the strings are trying to sell you. Hold them accountable for their actions come election time. Vote them out. Vote in candidates who understand how the economy works and have a track record of voting in accordance with conservative values.
Otherwise, this nation, our culture, is doomed.
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