How far would Joe Biden go to try to escape the current banking failure situation? That’s exactly what many Americans are now asking themselves after watching with worry how he dodged hard questions on the situation Monday morning.
As he closed the door on reporters in the Roosevelt Room, President Joe Biden bolted from the podium after a platitudinous speech on banking regulations.
After two banks were closed by federal regulators, Biden said all customers with deposits in these banks can rest assured that their money is protected as of today.
As Biden concluded his remarks, a reporter shouted “Should all depositors be protected at all banks?”
Besides suggesting stronger regulations on banking institutions, Biden did not provide any examples or even a broad policy framework.
Meanwhile, according to MarketWatch, in spite of a fresh federal bailout, investors are selling regional-bank stocks
In response to last week’s bank failures, investors moved deposits to the largest U.S. banks for perceived safety.
After Signature Bank collapsed unexpectedly over the weekend, as well as Silicon Valley Bank, regional bank investors acted as if they were shooting first and asking questions later as customers shifted their deposits to the largest U.S. banks for perceived safety, observers said.
Even after U.S. bank regulators set up an emergency loan program as a backstop, shares of regional banks such as First Republic Bank FRC, Western Alliance Bancorp WAL, PacWest Bancorp PACW and Zions Bancorp ZION dropped Monday.
Over the weekend, social media was flooded with images and videos of people trying to withdraw money from SVB branches and other SVB-exposed banks.
It was a sick sight to witness President Joe Biden bolt away from the podium in the Roosevelt room. This shameful display by our so-called leader shows us how incredibly unstable and vulnerable our banking system is, as two banks were closed by federal regulators. This is unacceptable and it signals that the banking system can easily collapse in spite of all efforts to protect it. With Biden’s “duck and run” strategy becoming increasingly evident, no one should feel comfortable with trusting the unreliable president. In the meantime, however, we have to stay vigilant and always be aware of what could happen next as we battle this crisis that continues to unfold in front of us.
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