Late to the thread, but I worked as an assistant manager (not an assistant to the manager!) at a Pizza Hut in HS in the 1970s.
I'd have to get in at 5 am to make the dough for the day. Huge stand mixer with a dough hook that could take your arm off. Flour, water, salt, yeast. Wait for it to rise. Thick or thin crust -- all made on site.
The sauce came out of a can and the meats and cheeses were out a box from the freezer, but we prepped and chopped all of veggies on site. No pre-packaged portions, either.
We made some pretty good pies back then.
I don't want loyalty. I want real loyalty. I want him to kiss my ass in Macy's window at high noon and tell me it smells like roses. I want his pecker in my pocket.
I'm not sure that there is a bit of difference between Crystal or Louisiana -- I like them both. Jalapeno or Chipotle versions are the only Tabasco products that I buy.
Frankly, I think that the Fed should have done something like this way earlier. So many banks had bond interest rate exposure. And the OCC knew all about it. The current administration simply wanted to wish the current interest rate environment as "transitory" -- 4-5 basis points is not "transitory"
It's happening. No link, but errybody will have access to their deposits tomorrow. Special assistance to banks with underwater bond portfolios. Details to come.
Bold prediction. FDIC is going to make errybody whole on their deposits in this bank. They will also unlimited deposit protection for all banks on an "emergency" basis to avoid a further crisis.
HTM on bond portfolios is a very questionable classification right now. I could see some sort of regulatory action to allow those to be counted as assets without discount, maybe with a fed repurchase facility if a bank has a liquidity issue.
I was hearing something from a financial services-connected friend in DC about some emergency legislation being discussed to deal with the insurance cap with respect to this situation. That sounds like a long-shot to me.
But who knows? If this is truly going to be a systemic issue, it might make sense to cut it off before it goes further.
I don't know the details, but it really seems dumb that there wasn't liquidity provided to the bank earlier this week.
Plenty of assets. Management arrogance? The window is almost always open. We will learn more.
Most of my career has involved litigation related to failed financial institutions.
This one is different because of the rapid shift in interest rates, making HTM bond portfolios needing big haircuts. I think that more will be exposed soon.
The 2008 crisis related to both screwed up MBS and a related lack of market for real estate assets.
The 1982-1986 crisis related to a plunge in oil prices and tax law changes. All of which were exacerbated by a bunch of S&L cowboys that had never done anything beyond a single family home loan trying to get into complex commercial lending. (And maybe a bit of fraud!)
It's all about growing the user base and making it all scaleable, man. Don't you get it? The future profits will be immense! Just hang on for a couple more quarters!