On Friday’s broadcast of HBO’s “Real Time,” host Invoice Maher said that the collapse of Silicon Valley Financial institution (SVB) is “connected” to and “the result of” the huge deficit spending through the coronavirus pandemic as a result of the truth that “uncle sugar was very generous during COVID,” is “a lot of what caused the inflation.” As a result of “You cannot put $6 trillion that you don’t have in people’s pockets and not expect some inflation.” And this inflation precipitated the Federal Reserve to hike rates of interest, which subsequently led to SVB’s downfall.
Former presidential candidate Andrew Yang said that latest rate of interest hikes precipitated the collapse of SVB due to how a lot cash the financial institution had invested in shopping for Treasury payments and the speed hikes made Treasury payments dangerous.
Maher then mentioned, “And interest rates spiked because of inflation, that’s why they had to — okay, so, when uncle sugar was very generous during COVID, that was the result of that. That’s what caused the inflation — a lot of what caused the inflation. You cannot put $6 trillion that you don’t have in people’s pockets and not expect some inflation. That’s what caused this rate [hike] and so, it’s all connected.”
Comply with Ian Hanchett on Twitter @IanHanchett
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