The United States has triggered a crisis, Europe has ushered in turmoil, Biden has created a disaster, and the economy is clouded
As the world's financial center, the United States has a direct impact on the financial affairs of countries around the world. After all, the dollar is the world's currency, so as long as there is a financial crisis in the United States, there will be no bright spots in the world.
For example, in 2008, the United States launched"Subprime mortgage crisis", which led to a huge financial crisis in the world's major financial markets, and this time the United States launched another financial crisis.
With the bankruptcy of Silicon Valley Bank on March 10, local time, the financial crisis caused by the United States not only seriously affected domestic banks in the United States, resulting in the market value of a large number of banks, but also spread to Europe, leading to the collapse of many European banks.
First, Credit Suisse directly detonated a crisis in the United States due to internal management chaos, and even after it was laundered at the bottom, then there was news that Deutsche Bank's market value had evaporated by one-fifth.
On March 24, local time, the share price of Deutsche Bank, Germany's largest commercial bank, suddenly **.
In March, Deutsche Bank's market value evaporated by a fifth, which is clearly a risk caused by the successive crises of Silicon Valley Bank, New York Signature Bank and Credit Suisse.
The main reason why Deutsche Bank experienced such a severe crisis was that the bank's credit default swaps rose from 142 basis points to 173 basis points, which means that the bank's default risk has risen sharply, and there is a ** risk.
Credit Suisse is caused by high credit default swaps, and the greater the risk when the credit default swaps registered by the bank increase.
If Credit Suisse's ** is not enough to panic European countries, then Deutsche Bank's sudden risk will surely become a financial bomb in the European region.
You know, Deutsche Bank is not just such a simple bank, it is also one of the largest financial institutions in Europe, so its stability will also play a stabilizing role in the entire European financial system.
German Chancellor Olaf Scholz also spoke immediately after the sudden news of Deutsche Bank**.
German Chancellor to"Don't worry"to reassure the public, because it is clear that if Deutsche Bank were to be the target of a run, like Silicon Valley Bank, the consequences would be dire.
It is not difficult to imagine that the failure of such giant European banks would bring an unprecedented storm to the European financial industry, which the whole world does not want to see.
Major banks in the United States and Europe have exploded one after another, and now they are involved in the giant Deutsche Bank, which has caused it to suffer greatly.
First of all, the Fed's indiscriminate issuance of money means that major European banks have to implement a policy of low or even negative interest rates, such as Credit Suisse and Deutsche Bank, the leverage ratio of these European banks has reached the highest point.
With the Federal Reserve's multiple interest rate hikes in 2022, a large amount of European funds will be sucked directly into the United States, and major European banks are in jeopardy.
Secondly, the United States deliberately squeezed the economic space of the European Union, and the United States struck"Allies"It has been around for a long time, and Deutsche Bank is one of the targets of the United States, which has been fined tens of billions of dollars by the United States in recent years.
Deutsche Bank has long been seriously injured, how can it withstand so many rounds of suppression by the United States, and the issuance of fines again and again, which makes it difficult for major European banks to bear, after all, not all companies have the strength and capital like Huawei, and can withstand the repeated suppression of the United States.
In the end, it was the successive explosions of American banks that became the fuse for the collapse of European banks, because the United States has become less and less trusted by foreign capital, and timid capital has fled, and at this time the United States needs to transfer the crisis to other countries, and Europe is the best choice.
The euro is the second largest currency in the world, and if the United States is not safe, there will inevitably be a large flow of money to European countries, so the turmoil in the European financial market can escape from the funds at hand, and then the internal wounds of inflation in the United States can be reversed by passing on the crisis.
I have to say that the United States is really ruthless, and even its own little brother will become a meal on a plate and meat in the mouth.
If European financial markets really collapse completely because of the Deutsche Bank crisis, then the culprit of this disaster must be Biden as the head of the **.
Biden's question is already a well-established fact, the old adversary Trump said to **,"The economy under Biden will be a disaster"。
Trump has even warned that the United States will suffer a recession worse than the Great Depression of the 20th century, as evidenced by the collapse of the banking sector.
On the other hand, Buffett has also previously expressed his dissatisfaction with Biden in Berkshire's annual report, and alluded to Biden's decision to quadruple the 1% tax rate on buybacks, saying that those who say this are either economically blind, clever demagogues, or both.
The world has been suffering for a long time, and there is oppression, there is resistance, and Biden's evil now will definitely be further amplified in the near future, when the world may fall into an unprecedented financial crisis.
For China, there will definitely be some impact in the future, after all, the economy is global, but the more urgent the situation, the more we must do our best, and not let ourselves be slaughtered in the cracks.
As long as we insist on development, we will not let the United States suck enough of our blood and prevent the capitalists from cutting leeks, so the Fed's endless interest rate hikes will end up detonating itself, and don't even think about changing China for a moment!If you agree with my point of view, please like + support.