General Discussion

angrychair

(11,613 posts) Sun Nov 2, 2025, 02:09 PM Nov 2

Is the banking system near collapse? [View all]

Federal Reserve liquidity facilities caught fire on Friday as month-end pressures pushed a key lending tool to a record level of usage.
The Fed’s Standing Repo Facility lent a total of $50.35 billion on Friday to eligible financial firms in two separate availabilities, the highest-ever usage since the tool was put in place in 2021 to provide fast loans collateralized with Treasury or mortgage bonds

Banks are running out of money. This is not the first time but the second time in a row banks have taken these short term loans. Nothing about this is normal.
AI is a sinkhole of cash that is being passed around like a pocket comb on picture day by 4 different corporations but offering no utility in the market. Nvidia was recently "valued" at $5 trillion dollars. This is not a good thing because it's completely built on a false premise.
The money and stock markets are far more fragile now than they were in 2008.

The Federal Reserve is spinning it as normal and even planned but there is absolutely nothing normal about what is happening in our economy right now. Tariffs, consumer confidence and AI are bleeding our economy and making it more and more unstable with each passing day.

Source: https://www.reuters.com/business/finance/banks-tap-fed-standing-repo-facility-record-numbers-amid-month-end-pressures-2025-10-31/

21 replies

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Highlight:

Is the banking system near collapse? [View all] angrychair Nov 2 OP

No. . . . nt Bernardo de La Paz Nov 2 #1

I guess we will see...n/t angrychair Nov 2 #2

We are in a risky phase. Bernardo de La Paz Nov 2 #9

Generally Agree ProfessorGAC Nov 2 #13

Dunno if 4000 or 2000 is where the bottom will be, but I expect a bear more than a correction Bernardo de La Paz Nov 2 #14

We'll See, But... ProfessorGAC Nov 2 #19

Is it the market or specific stocks that are overvalued? EdmondDantes_ Nov 2 #15

It's the market, overall. Google & Meta not too bad at 28 and 29 respectively bc they are mature growth stocks Bernardo de La Paz Nov 2 #16

Yeah the PLTR valuation is difficult to justify fujiyamasan Nov 2 #18

Is FDIC still in effect? SheltieLover Nov 2 #3

For the moment but Project 2025 wants to scale back protections. Ritabert Nov 2 #6

Ty SheltieLover Nov 2 #10

😁 Ritabert Nov 2 #11

Your theory has lots of missing information Fiendish Thingy Nov 2 #4

Think you misunderstood angrychair Nov 2 #5

The lack of detail doesn't support the conclusions Fiendish Thingy Nov 2 #7

Highly unlikely. anciano Nov 2 #8

There is no such thing as "running out of money" because it is fiat currency. Bluetus Nov 2 #12

Dollar different fr crypto bc industry & services are behind it. Nothing behind crypto except marked to the dollar. . nt Bernardo de La Paz Nov 2 #17

Well, I think that they ended some of the safeguards (the tRUMP adm) so this is no longer available to stop unwarranted SWBTATTReg Nov 2 #20

Mainly delinquencies and loan losses are up Buckeyeblue Nov 2 #21