Investing General Discussion

OU Ariakas

OU Ariakas

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Isn't this what a healthy market looks like? A business makes poor financial decisions, loses investor money, and then is forced to sell at a huge discount to a well-run competitor? Then, the market dissects the reasons why it happened and (ideally) other similar businesses do not repeat those mistakes? It is the reason that "too big to fail" was such bullshit; bailing out companies that make poor financial decisions just teaches them that there are other possibilities besides losing your business to a rival.
 
Sanrith Descartes

Sanrith Descartes

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Look at these transactions since the close yesterday in blocks greater than 10k shares.

1678458242774.png
 
Sanrith Descartes

Sanrith Descartes

Von Clippowicz
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OU Ariakas said:
Isn't this what a healthy market looks like? A business makes poor financial decisions, loses investor money, and then is forced to sell at a huge discount to a well-run competitor? Then, the market dissects the reasons why it happened and (ideally) other similar businesses do not repeat those mistakes? It is the reason that "too big to fail" was such bullshit; bailing out companies that make poor financial decisions just teaches them that there are other possibilities besides losing your business to a rival.
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Yes. It gets a little more wonky when its an FDIC insured bank. This is also why repealing Glass-Steagall was a mistake. They never should have allowed FDIC insured banks to merge with investment banks.
 
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Jysin

Jysin

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4 banks all in halt downs. Shwabb -10%

09:35 SIVB David Faber: Attempts to sell company are running into issues and market should prepare for next steps - CNBC - Source TradeTheNews.com
 
Furry

Furry

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Does the FDIC actually have any money saved up to pay out people who lose everything, or has that all been looted like everything else involving government? Never looked into it tbh.
 
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Sanrith Descartes

Sanrith Descartes

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Furry said:
Does the FDIC actually have any money saved up to pay out people who lose everything, or has that all been looted like everything else involving government? Never looked into it tbh.
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They just call Janet Powell and ask him to Venmo the money to the FDIC
 
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Jysin

Jysin

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Long some JPM (long term acct). This is holding flat while market and regional banks are puking.

Thesis that those shitty regional bank outflows need to go somewhere. More insulated bigger banks like JPM are prime to benefit this.
 
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Sanrith Descartes

Sanrith Descartes

Von Clippowicz
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Assuming JPM is big enough to get thru this (they are) here are the support points as it continues its drop down. At some point I will buy back in.

edit: Jysin Jysin and I are thinking alike

1678459968973.png
 
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Sanrith Descartes

Sanrith Descartes

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Gravel said:
So we really are getting a repeat of 2008. Not exactly what I expected.
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No. I dont think so. What this is probably going to do is shake out the shitty smaller banks who were playing fast and loose and ill-equipped to handle this massively higher interest rate environment and were making shitty investments like in crypto and small unprofitable growth stocks. The bigs, with diversified money streams (like JPM, C, BAC) will sail through it. They might get dinged but will come out on the other side.
 
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Jysin

Jysin

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10:10 SIVB Internal memo tells staff that management is discussing 'next steps' for the bank and tells staff to work from home until further notice - press
 
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