New data reveals unprecedented levels of lending to banks, suggesting an alarming fragility within the sector. Despite reassurances of stability, the sudden surge in bank term funding and credit lending signals deep underlying issues. As experts warn of a looming financial meltdown, the urgency to protect personal wealth has never been more critical. Stay tuned as Taylor Kenney uncovers the stark realities facing our banking system.

TRANSCRIPT:

Banks across America are on the brink of failure, far worse than 2008, and I can prove it.

In 2008, most people didn’t see the crash coming until it was too late, meaning that they had to be reactive in their support. But this time around, banks are being propped up ahead of the crash, creating a catastrophic debt crisis, leaving us to pay the price and setting the stage for an even bigger financial meltdown.

Let’s look at this chart together from the Federal Reserve showing the lending to banks in the last 20 years. Now, most people are shocked to discover that there has been more lending to banks in the last two years than there was during 2008 to 2010, during the Great Financial Crisis. So if we look at this chart here, first things first, you can see that there really wasn’t any lending happening.

We start to see some little stuff on the radar here and then boom, 2008 happens and suddenly there is a spike in lending. So this is the great financial crisis that we’re looking at here. Now at the time the magnitude of spend was like nothing we’d ever seen before. So this was significant. But you can see here, just 12 short years later, we have Covid hit and suddenly again, another spike in bank lending.

Now a lot of this purple is the Paycheck Protection Program. So that was given to banks in order to lend out to small businesses. Again a significant amount of money right here. We see it topping out at just under $1 trillion. But what do we have over here to our right? Suddenly in 2023. And again, mind you, this was only a year ago and we have been told for the last year that everything is fine, that banks are in perfect health, that there’s nothing to worry about.

But suddenly here in 2023, we see this significant climb in lending to banks. Significant not only in credit lending, but we also have the bank term funding program, the BTFP. And for those of you who don’t know what that is, let’s see up here the Bank term Funding Program. So that’s this, this red blip over here that is going to be the program that was created to ensure that banks had enough liquidity to meet their depositors needs.

Now, let that sink in for a second. Enough liquidity to meet their depositors needs, essentially making sure because everything they had was tied up in these assets, that they had enough cash flow so that if you made a withdrawal and I made a withdrawal, that they had enough cash flow to meet their depositors needs. Now that gives me chills right there alone.

But I think what’s even more interesting about this chart, and something that no one is talking about, is the timing, the timing of all of this. So if we make this a clean slate and we look at this again, it’s not just the magnitude, because we know the spending that’s been happening now versus 2008 is more than double.

But if we go back and look at the timing here. So let’s zoom in on this. So again right down here we have 2008, 2010, this is 2009. What happens right here. Right here before the spike? This is going to be when Lehman Brothers collapse. So Lehman Brothers collapse. That was in September of ‘09. So we can see that happening right here.

And what follows it? Tremendous amounts of spending. Right? All of this spending here happens after Lehman Brothers crash. Now, if we go over here, we see that this is Covid. Covid happens. And what happens after Covid suddenly a ton of spending, right? We know Covid hits spend spend spend spend spend. Now what happens right here, right here? This is what I think is interesting 2023 now we know we had a couple of banks crash in 2023.

First Republic, Signature, Silicon Valley Bank. But 2023. We were told again that everything was under control and everything was fine. So what we’re now seeing present day is this pre spending this pre spending to a magnitude we’ve never seen before. Which leads me to believe that it is going to be so much worse because this time they’re not waiting until after it happens to try and paper it over and make everything return to normal to baseline.

I mean, we knew we knew that this was never going to work over here, but this time around, they’re preemptively boosting up these banks. So then what happens when they crash? Could we expect to see these go even double? Triple? I mean, when does it end? And more importantly, what happens to you with this avalanche of debt? What happens to you?

Because at the end of the day, it’s you and I. It’s the depositor who’s standing at the bottom of the mountain while all of the media and the government, everyone in charge, is telling us, look over here, everything’s fine. No, all you have to do is look up and you see what’s about to come crashing down on top of us all.

This is why I tell my friends, my family and all of you that it does not make sense to keep your nest egg, your savings, your wealth in a system that is clearly on life support and is leaving you vulnerable. And that’s why we say if you don’t hold it, you don’t own it. Because ultimately, whatever you see on your computer screen, these numbers, these numbers on your account are just that.

They’re just numbers. They’re not true money. They’re not true wealth. Those numbers aren’t showing you the real picture of what’s going on with your banks. And your banks can’t dig themselves out of this one because they don’t have a shovel that’s big enough.

If you don’t already own physical gold and silver, now is the time to do so, because that is what is going to protect you through a crisis, through a currency reset, so that you can get out on the other side and protect your wealth.

Listen, you and I both know the truth. Everything is not fine. The chart we just looked at. No one is in the business of giving anything away for free. Why would all of this lending and pretending and extending be happening if they didn’t know that the banks were in critical condition?

And it’s not just what’s happening above the surface, but what’s happening below as well. And I know I’ve talked about banks unrealized losses before, but I truly believe it is such a critical threat that I want to make sure we talk about it again and really look at what’s happening with the losses, as well as the lending. When we put them together.

Now in 2008. This is where it starts. And it goes to almost present day. What we’re looking at here is again the amount of unrealized losses. So this is 2008 to 2010 at the time. Again it seemed like a lot of losses. But if we look over here in the last two years, these losses that we’re seeing are like nothing we have ever seen before.

We are talking about billions of dollars. Look at this down here. We are talking about almost three quarters of $1 trillion worth of unrealized losses. Now we know exactly what happens if a bank has to sell these losses. We saw it with Silicon Valley Bank, these unrealized losses, all of a sudden they were forced to sell because they needed liquidity.

And then what happened? They crashed. They went under. They failed because people realized, oh my goodness, this bank doesn’t have any assets to back up their deposits, which is happening across the country.

I want to do one more thing with these charts. And again, they don’t want you to know this because if you knew this, you would be concerned about leaving any deposits in a bank.

So right now we have the two charts we looked at. We have the lending that’s been happening, the banks and the banks, unrealized losses. And what I wanted to do was superimpose those together.

What we have here again, is looking from 2008 to present day, and it becomes even more startling. So in 2008, what was happening above the surface and below the surface, there we have it.

And present day, in the last two years. I mean, look at this, look at this. It’s like nothing we’ve ever seen before. If that isn’t a red flashing warning sign, that not only is extreme lending happening, but beneath the surface there’s extreme losses happening. I have never seen anything like it.

And like I said, they don’t want people to know this because if they know this, they would be getting out of the system, outside of those banks and putting their trust and their faith in something that has withstood the test of time that they are in control of, such as physical gold and silver.

And the reason why banks and the government don’t like gold and silver is because they can’t control it, which means they can’t control you and they can’t make money off of you. They can’t charge you fees, and they can’t find crafty ways to take away your wealth and chip away at your purchasing power, because that doesn’t work when we’re talking about physical gold and silver.

And that’s the difference. And that’s why they don’t want you to know this. And the narrative will continue, but eventually it’s going to catch up to them. And I think it’s important to say that I’m not saying run out today and take everything you have out of the banks. They’re collapsing tomorrow. I’m not saying that, but what I am saying is that there is an avalanche that is coming, and I hope that you are already protected, that you’re diversifying with gold and silver.

And if you haven’t taken that step, if you haven’t taken action yet, this is me telling you that I think you should seriously consider it. Now of course everyone’s situation is different, so I’m not going to tell you what to do. But if it’s something you’ve been thinking about, if it’s something you are interested in, that is what our team is here for.

You can click on the link below. Talk to one of our expert analysts. They work with people to understand what their goals are, what their needs are, what their situation is. Because again, everyone is different. So depending on what that looks like for you, they will work with you to create a custom strategy. And if you have any questions, if you have any thoughts about anything that I went over today, please let me know in the comments. If you’re not already like and subscribe as it helps us get the word out. Again you are not alone. We are all in this together.

As always, I’m Taylor Kenney with ITM Trading your trusted source for all things gold, silver and lifelong wealth protection. Until next time.

SOURCES:

https://fred.stlouisfed.org/series/WLCFLL#0

https://www.axios.com/2023/11/30/banks-unrealized-losses-grow-q3-2023