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General Discussion / Re: Things that made you go "WTF?" today o_O
« on: March 13, 2023, 12:07:47 pm »I don't think this had much or anything to do with covid stimulus -- the bank was indeed kinda' braindead with the risks it was taking, but precisely what happened with SVB was people like this (link goes to an imgur album of twitter screenshots, to save it for posterity) being so astoundingly dumb it's vaguely amazing they're not kept inside protected enclosures for their own safety. As the person that I first saw mention this said, "however you imagined this happened, the reality is actually much stupider."But isn't that basically how all banks work?because of all the stimulus during the Covid crisis, they started taking riskier, bonds with higher yields, and then they started reporting the max profit as if they have that money today
they didn't stop acting like the money was still being printed, and kept those riskier practices up
E: While most of it is boggling, the 1:30 PM entry is just wild. As they're in the middle of contributing to a bank run, acknowledging the cause is panic while they're in the middle of panicking, they buy shares in the bank. There is some kind of fundamental disconnect in cognition with folks like that. Something has broken their brain, and for some reason other people think it's a good idea to subsequently give them money.
