US Banking system remains "sound and resilient"

A direct quote from the minutes of the March 2023 Federal Reserve Open Market Committee meeting is:

Participants agreed that the US banking system remained sound and resilient.

Does this give you a warm and fuzzy feeling? Is the above quote the new "inflation is transitory" meme? I humbly ask this esteemed group for its insightes.

Thank you in advance for the well thought-out, civilized and insightful discussion that I'm sure will ensue.

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whowasthatmaskedman · 70-79, M

Yes and no. The banks themselves only count the numbers.. So its all good as long as there isnt a run on the banks. The inflation problem is another story. First, supply chains are still being squeezed. Second , some businesses have discovered that keeping supply tight means they dont have to discount and compete. (Dont you just love Capitalism?) So they can make more profit ouf less turnover. (Check the latest profit numbers if you dont believe me) and third, the looming Petrodollar shake out will soon drive up the $US cost of imports. Buckle up. Its going to be a bumpy ride..😷