The biggest US banks will signal their worries about the US economy in third-quarter earnings reports starting next week, with analysts expecting they will set aside more than $4bn to cover potential losses from bad loans.
https://www.ft.com/content/dded71a6-2637-45ec-b8b5-da0154455c8b
Remember 2008? Tens of thousands of foreclosures.......
Layoffs, Inflation, housing is over-valued and starting to correct, the banks are preparing for a repeat of the 2008 crash.
This is WHY Charlie was severely reducing WF exposure to home lending in preparation of forecasted housing foreclosures -- btw foreclosures HAVE started.
Is this because they decided to loan to individuals that shouldn’t have been loaned to?
Seems we are doing it again right now.
Bidenflation? What is the alternative, have the fed keep printing forever? This was inevitable
Tip of the iceberg....on top of Bidenflation.
Won’t affect our pristine loan portfolio
Hmmmm…..Interesting circle:
Companies like Wells Fargo lay off employees so that self-serving CEOs like Charlie can keep getting his 20% pay increases. Employees, who have lost their jobs, are unable to make their mortgage payments and auto loan payments. The Wells Fargos of the world cry about potential losses from all the bad loans due to “the economy”.
Poor Wells Fargo.
Indeed, if this recession results in under 10x that number we'll be lucky.
Not a big number between the banks