- Financial Survival Network
- Posts
- Short Sellers Cratered Silvergate Bank and First Republic; They’re Now Targeting PacWest and Numerous Other Regional Banks
Short Sellers Cratered Silvergate Bank and First Republic; They’re Now Targeting PacWest and Numerous Other Regional Banks
by Pam Martens and Russ Martens Wall Street on Parade
President Joe Biden is putting the national security of the United States at risk by not suspending the short-selling of federally-insured banks. Concerns over the safety and soundness of the U.S. financial system could cause money flight out of the U.S., impacting the strength of the U.S. dollar and a loss of confidence by our foreign allies.
This is also a matter that impacts the financial lives of every American, because every American – rich, poor or middle class – will suffer the consequences in terms of ability to access bank credit and higher fees on that credit as a result of rebuilding the rapidly depleting federal Deposit Insurance Fund that protects bank deposits.
The second, third and fourth largest bank failures in the history of the U.S. have now occurred in the span of seven weeks (First Republic Bank, Silicon Valley Bank and Signature Bank, respectively) with the Federal Deposit Insurance Corporation (FDIC) taking big hits in each case to its Deposit Insurance Fund.