Jerome Powell testified before Congress that the banking system was stable and that the economy could continue to handle higher rate hikes.
48 hours later the second largest bank failure in US history was underway.
Either he was lying, or he genuinely didn’t know. 🚩
Lying
Neither. He knows what mechanisms he has. The Federal Reserve has more capability than any central bank or government ever, to inject liquidity and back-stop all of this. Since 2008, there is really no risk of a systemic collapse, only increasing centralization as the central bank and bigger banks swallow up the smaller banks.
Maybe he meant that problems in the banking system are stable lol
Little column A, little column B.
He’s a con[fidence] man that’s his job lol but ppl are waking up
So, apart from getting a signal about market sentiments it’s not useful to listen to him anyway?
