How the US bailed out the banks, again

Monday 13 March 2023

More from, ZeroHedge. Whatever you think it, S&P futures are up bigly…

And so we got our “credit event” and the Fed panicked, as did the Treasury, and the FDIC…

While we reported the big picture of the latest bank bailouts by the Big Three regulators, what is most notable is today’s latest entry to the Fed’s alphabet soup of bailout facilities, the BTFP lending program which, in theory, “will make loans on high quality collateral” (by which the Treasury simply means collateral that has already incurred mark-to-market losses of over $600 billion; more below).

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.