The Biden administration is spectacularly awful.
Yesterday, the federal government had to seize Silicon Valley Bank in the biggest bank failure since 2008.
Experts say the collapse of SVB can cause a recession.
CEO of Macro Mavens, Stephanie Pomboy, joined Tucker Carlson Friday night to discuss the state of the economy.
Pomboy said, “what we are facing right now is really serious and we are on the brink of a 2008-style financial crisis and I’m not trying to be hyperbolic.”
“Tucker Carlson: Can you just give us your coolest, most attached assessment of what we are seeing? This seems like a big deal, is it?
Transcript of the above video:
Pomboy: Well, I can’t believe that you are not allayed by listening to Treasury Secretary Yellen, I mean clearly, she’s got the situation in hand. I also am just stunned Tucker that you don’t believe that diversity equity and inclusion are the root of a sound financial system. I mean come on where have you been for the last year Tucker?
Carlson: It is time for the kids to be quiet and like let’s get some real economists here. Who aren’t just like repeating Atlantic articles. This is insane.
Pomboy: It is absolutely insane and the layers of insanity I can’t even believe the videos you showed about the people at SVB you know, focused on the women’s ski day vacation and it is just nonsense and you’re right. What we are facing right now is really serious and we are on the brink of a 2008-style financial crisis and I’m not trying to be hyperbolic. In fact, you and I discussed this at length in our long form interview several months ago. At the time, the Fed hadn’t even raised rates nearly as high as they have today and as I was saying look you don’t raise rates at record fashion on an economy toting record leverage at maximum speculation and expect no consequence. I mean this was clearly going to happen and now we are seeing the weak links in the chain break. You know the areas where speculation was most rampant and most egregious are clearly coming down and they are doing so as they seem to do in all the three-letter acronyms, just like they did in 2008. We’re back in the three-letter acronyms and there will be a lot more of those and frankly, I think this is the unintended consequence of the fed’s monetary policy layered with really bad fiscal policy on top of it but essentially, we have been encouraging people to take reckless risk for years just because you had no alternative. You could get 0% sitting in T-bill or having your money in a bank or you could go out and you could speculate and that’s what they’ve have done and that is all coming back to bite them hard, and we got some major consequences coming at us and I think it is going to devolve very rapidly because of all the leverage that’s been built up here.”