Fed Chair Powell: I am sure there will be bank failures

Federal Reserve Chair Jerome Powell testifies before the House Financial Services Committee.

[NicholasBall]

About the current bank situation, I'm really concerned. I am worried about a lot more if a bank the size of SVB may fail. I have a friend who manages a fast-growing startup and was severely impacted by the bank run. I have taken more than $840k out of my bank. Since the FDIC only provides coverage up to $250K, an implosion could have negative consequences. presently want to invest in the stock market. Does anyone have any ideas on how I might proceed?

[MegatPage]

It's quite simple why rates are climbing with rising imports and falling exports, the FED is obviously to be blamed for banking crisis. Something will eventually break if they keep the quantitative tightening and higher interest rates. Is this really a good time to have some savings in stocks?

[NicoleBarker-hevp]

First off, the belief that the Federal Reserve would stop raising interest rates was the driving force behind the entire economic chaos. What should we do now that we have a situation where interest rates are crashing? At this point, how would you suggest that I safely allocate $300k?

[stevensmiddlemass]

Since we're approaching April, one of the best months to buy stocks. I am currently holding north of $300k in a savings account waiting to invest in another huge opportunity.. Where would you invest this as of now?

[tmer]

The ongoing banking crisis is far from reaching a resolution. Those with more than a decade of experience understand that credit crises do not dissipate within a mere two weeks. It's amusing to witness some people believing that everything has already concluded so swiftly. We are currently witnessing a credit contraction that will inevitably result in a substantial overall contraction.

[KarenLavia]

Bank failures are likely to continue increasing due to rising interest rates, as it causes their commercial paper and treasuries to become devalued. To prevent a severe economic downturn, it is necessary to implement a freeze on interest rates. Simultaneously, the White House should support the industry in boosting gas and oil production to lower fuel prices. The anti-oil stance only contributes to higher energy costs, leading to inflation throughout the economy. By reducing interest rates, tightening the money supply, cutting government expenditures, and increasing the availability of affordable fuel, inflation will decrease, and the economy will thrive. Unfortunately, various conflicting agendas make it unlikely for all these measures to be implemented, resulting in a recession and persistent inflation.

[brucevann]

Worst part is his lack of concern for small banks. There’s already too much concentration in the banking industry to start with. We don’t need small banks going away only to make larger banks even larger.

[geoffmead]

The best move the federal reserve can make, at any time, is to shut down their entire operation.

[nathankurz]

I’m in CRE. These are the hard questions I wanted to hear

[JJ-ixzr]

Fiat money sucks . They gave it away in the pandemic like Venezuela now we are paying the over prices of everything .

[RecessionVanLife]

She’s right. Was recently working in commercial real estate before layoffs began and yes, it’s so dead, no one wants to buy or sell office space at these interest rates. A lot of private equity backed deals are bleeding money month over month from low occupancy in office and retail.

[freedomw]

So he is acknowledging that we have a banking issue on the rise. WHO ARE THE BANKS????

[Bart]

He said not the big banks only medium and small banks . She should of ask him how many big banks do we have ?

[NutriNerdy]

This is a power move by the central banks to acquire all of the assets from the smaller banks for cheap.. We are moving to a much more centralized banking system VERY rapidly

[Michelleyoung-dqzc]

I will forever appreciate this channel, you’ve helped me and my family a lot, your videos, advice and lessons are inspirational helpful to us,
I now earn every week. You’re such a blessing to this generation, we all love you

[qpalfredoqp]

Stop lending money to people who owe $1B, give the loans to the people who earn real money, such as the middle class Americans

[SBFRuggedYou]

Bailouts... Bailouts everywhere!!! MONEY PRINTER GO 😂😂😂

[ace]

Been sure of that since 2008. And they even been failing ever since. And the banks that have failed since 2023 have far exceeded 2008's baking crisis.

[christophe]

He will keep high interest rates until everything crashes... He won't reduce them before.
Like in 2008...

[jasonperkins]

“We have kept ahead of it.” He means he fired the taxpayer money house to bailout billionaires and Chinese depositors in Silicon Valley Bank. Let’s see if they show up when banks fail impacting small business and lower net worth individuals. I don’t see it happening.