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Monthly Archives: July 2009

Sixty Eight Banks Fail in the USA

I read a news report today stating that the total number of bank failures in the USA during recent times [circa 2008/9 financial crisis] has reached the staggering number of fifty [and counting – 2009-07-31 – now it’s 68!!]. The report mentions this matter-of-factly, like it’s quite normal.


What this tells me, without going into any detail is that thousands of people, if not hundreds of thousands, may have lost some or all of their hard earned money. Reports like this tell me that it was the financial system that failed and it was government that allowed a financial system to evolve in which it was possible for fifty banks to fail, that failed.


When, oh, when are people going to start questioning what these less-than-desirable people are up to instead of accepting each monumental failure, financial catastrophe and the misery it causes without question or any call for accountability?


As for correcting the underlying flaws in the financial system, well after a brief flurry of activity by the new Obama administration it seems to have settled into the same old routine, financial reforms are still a long way away.


And it’s still a sad, sad world.


Postscript: July 2009

How in this world is it possible for a company that creates absolutely zero real wealth, a company that makes nothing, creates nothing [except money for itself and misery for many people], make 3 billion dollars profit in 3 months in the middle of a recession?


For any company in the financial sector to make a profit someone somewhere has to make a loss [perhaps it was some of those banks that went belly up]. The profit announcement was made with whoops of joy and merrymaking by the financial media like we should all be saying wow! well done! handshakes all round, the recession has bottomed out.


In my opinion it’s disgusting, I’m talking specifically of course about Goldman Sachs a candidate if ever there was one to be subpoenaed by the US Congress along with JP Morgan, who by all accounts have already received their ‘invitation’ this week to do a bit of squirming.