Were back together now with the latest 1st its the kaiser reports. Hey you know back in 2008 when the had the Global Financial crisis and banks went under of Lehman Brothers bear stearns and some European Banks are going to go under that all of meetings all the weekend long and the policy was not to reform banks but to give them a bigger credit line 1020 times bigger at the time we said you know it in 10 to 12 years so if theres going to happen but a lot bigger well here we are 12 years later and the states are just as you said. Its all unraveling again especially with European Banks because they are not the center of the empire they are not rome they are outside so they must suffer but before we get to that fin send story about the European Banks i want to say once again we find toilet paper roll is a precious commodity as lockdowns began apparently there are rush mad rush on toilet paper all over the western world and were seeing shortages of toilet paper again that was also somethin
Hey you know back in 2008 when the had the Global Financial crisis and banks went under of Lehman Brothers bear stearns and some European Banks are going to go under that old like meetings all the weekend long and the policy was not to reform banks but to give them a bigger credit line 1020 times bigger at the time we said you know it intended 12 years so if theres going to happen but a lot bigger well here we are 12 years later in the face of just as you said. Its all unraveling again especially with European Banks because they are not the center of the empire they are not rome they are outside so they must suffer but before we get to that fin send story about the European Banks i want to say once again we find toilet paper roll is a precious commodity as lockdowns began apparently there are rush mad rush on toilet paper all over the western world and were seeing shortages of toilet paper again that was also something we protected. Right so here is the headline from wolf street dot co
A negative Interest Rate environment that is toxic for banks so the stocks 600. 00 banks and x. Which covers major European Banks slumped 5. 7 percent on monday to close at 81. 00 just a smidgen above the mall 5 decade low of 79 set in march the last time before march that the index was below todays level was february of 1988 during the selloff that followed black monday in october 1987 when it also slumped as low as 79. 00 the index has collapsed by 85 percent since its peak and may 2007 after having quadrupled over the preceding 12 years its looking bad right i mean once again and the connections in 1907 black monday the crash of that here is very important because the solution then was to extend Bank Credit Facilities thats how. Greenspan Ronald Reagan and robert rubin the plunge Protection Team or the working group on finance the president S Working Group on finance decided that they would solve this problem by not punishing or reforming but expanding the credit line of these banks
The solution then was to extend Bank Credit Facilities thats how Alan Greenspan Ronald Reagan and robert rubin the plunge Protection Team or that working group on finance the president S Working Group on finance decided that they would solve this problem by not punishing or reforming but expanding the credit line of these banks so they did exactly what they were doing but on a bigger scale and then we have of course another major move down in 1989 we had a bomb crash more or less 9093 we had the dot com crash in 2000 we had the 2008 subprime crash and each one of these crashes were caused by the exact same thing over indebtedness too much leverage and no accountability no than foresman of regulations by the f. C. C. And then send in others and each and every time the policy from the Central Banks is to expand credit line and say do it again but do it bigger and now in 2020 we. Of now some more thing happening all over again its entirely predictable entirely preventable but as restraine
Find out soon. Good evening, everybody, all that and much more ahead we start with some breaking news on nikola. Shares are down in the after hours, following a big up day. Bloomberg reporting securities and Exchange Commission will exam over the stock selling fraud and allegations, stock down 7 . Youre response . Again, i cant speak, i said it last week, i cant speak to the voracek asity of the shore seller report, acquisition of fraud, i have no idea, but what i stand behind, despite how the gm is structured, whether their investing money, the fact that gm would link their wagon to nikola and if these acquisition prove to be correct, i think the real deleterious thing could happen with shares of gm, in my opinion, potential for exponential move and gm perhaps didnt do the homework others did. Thats my primary concern looking at this entire situation. Tim, to be clear on the story and were trying to get phil up here any moment, you know, Trevor Milton said the other day were going to