Kevin Duffy on the banking crisis

In the annals of government boondoggles, the global policy of interest rate obliteration from 2008 to 2022 stands in a class by itself.  A distant second is the Covid-panicked stimulus orgy of 2020-21.  Together they created a tinderbox for fractional reserve banks, which are nothing more than poorly-run hedge funds levered to government policy.  Regulators not only failed to put out any brush fires, they provided a false sense of security while the self-proclaimed firemen (central banks) doused the economic forest with gasoline.

~ Kevin Duffy, "Regional Bank Failures: Containable or combustible?," The Coffee Can Portfolio, June 9, 2023