From NOT A LOT OF PEOPLE KNOW THAT
By Paul Homewood
The collapse of SVB, the second biggest bank bankruptcy ever, seems to have gone under the radar until Fox News shone the light on it last week.
Here, one of President Trump’s senior advisors lifts the lid on it:
While woke ESG policies obviously did not help, the real reason for SVB’s collapse was the rapid rise in increase rates, which in turn devalued their assets held in government bonds.
And the main factor behind the rise in interest rates was the explosion in federal spending and deficits, which were the direct result of Biden’s policies.
Let this be a reminder that there is no such thing as a magic money tree, which all UK parties still seem to believe in, not least to finance Net Zero.