There seem to be runs starting on Chinese banks.

[Tomconroy]

Link to tweet

https://asia.nikkei.com/Business/Finance/China-readies-massive-bank-bailout-fund-as-slowdown-looms

Link to tweet

[Eliot Rosewater]

1. Ahh shit. Last few days have been murderous.

[bigtree]

2. looks like just some structural deficiency in some sectors of their banking system

...it's a localized China thing like the Keating savings and loan scandal.

"Chinese people are losing faith in their financial institutions. There’s been anger over harsh COVID lockdowns in Shanghai recently, while the collapse of China Evergrande saw rare public demonstrations as residents faced the prospect of losing their life savings used as deposits for housing."

Meh.

[Demovictory9]

3. kick

[iemanja]

4. At this rate, I won't be able to retire until I'm 80

Because this isn't going to help our markets.

[SoCalDavidS]

5. China Is OUR Bank

Where will we borrow money from now?

[roamer65]

7. We will just create it.

That’s what quantitative easing is…money from thin air.

[Mr.Bill]

10. China owns about 14% of our national dept.

Most of our debt is owned by the federal government and U.S. citizens.


https://www.thoughtco.com/how-much-debt-does-china-own-3321769

[IronLionZion]

6. Do people remember the runs on American banks around 2008?

There were some sketchy banks overexposed to the mortgage issue back then but most other banks were fine. I hope this isn't going to be widespread.

Companies are losing investment capital in stock selloffs. There's a big demand for cash as people pull money out of securities.

Meanwhile investment firms have been scolding central banks for waiting too long to raise rates.

[beaglelover]

8. Yep, and no one ever went to jail after Obama was elected.

One of the reasons I greatly dislike Eric Holder these days. After what happened in 2008, someone surely committed crimes and deserved to go to jail for the suffering they caused.

[OMGWTF]

11. I always felt like Eric Holder was auditioning for a corporate crony job after his AG gig was up.

[mahina]

12. Yeah busting his ass to fight for fair just registricting

Screw that guy
🙄

[IronLionZion]

14. Bernie Madoff's Ponzi scheme was exposed

so he went to prison. He died last year.

Exactly 1 US banker went to prison for his role in the crisis. This guy: https://en.wikipedia.org/wiki/Kareem_Serageldin

There are many more who belong in prison from the US. Some European countries jailed some of their bankers. Iceland did so.

[roamer65]

9. The Chinese real estate bubble burst a few months back.

That will take a bit to percolate through the world financial system.

[Bev54]

13. Well now that they are out of covid lock down

Friends of mine live in Shanghai and were locked down for 60 days. They packed up while in lockdown and decided to move as soon as they got out. Left last week, I bet they are happy they did.