What is contagion?
CONTAGION
KEY TAKEAWAYS
• A contagion is the spread of an economic crisis from one market or region to another and can occur at both a domestic or international level.
• Because markets are interdependent, events in one market can impact other markets.
• When markets are robust, this can buffer negative economic shocks; when markets are fragile, it can magnify negative shocks, like the spread of a disease.
• Usually associated with credit bubbles and financial crises, contagions can be manifested as a crash in one market leading to a crash in other markets
People do not grasp the implications of last week.
Wednesday Silvergate, a crypto bank went under.
Friday SVB went under within a day.
But people don’t understand how centralized the entire global banking system is.
We are not witnessing a couple of corrupt banks going under.
The corrupt ones are the weak link in the chain and collapse first.
But there’s a bigger bank about to go under that will make it very clear that we are seeing the debt system imploding.
Credit Suisse is on the verge of being next.
If that happens the dominos will fall fast.
Governments will print money like crazy to try to save the system but it’s in a death spiral.
I don’t like to be the bearer of bad news but we are witnessing what many of us have been warning is coming.
We are at the beginning.
For those that have a trading account and are using margin, you are at risk of losing because you don’t own the stock when you use margin.
All debts get paid.
The world is drowning in debt and the bill has come due.
A new system is coming my friends but the system must be cleansed first.
Reposted by Just Human:
Pepe Lives Matter:
Creature from Jekyll Island dig with accompanying video.
Now is as good as a time as ever to highlight what the Federal Reserve Banking System really is:
A criminal cartel.
A slave system.
https://pepelivesmatter.substack.com/p/the-creature-from-jekyll-island
