If you have any money in the stock market, you need to pay attention to what I’m about to tell you. The latest bank earnings reports are sending a chilling message about the state of the economy, and if you don’t take steps to protect yourself, you could be in for a world of hurt.
Shah Gilani, the Chief Investment Strategist of Manward Press, recently wrote about the mixed bag of bank earnings. While banks made plenty of money from their investment activities, there are clear signs of trouble ahead, especially for everyday consumers like you and me.
As Shah points out:
Despite continued high interest rates, net interest income (NII) margins declined for most of the banks… There’s a noticeable uptick in delinquencies, particularly in credit card payments. Consumers are under financial stress, especially those in lower income brackets.
Just look at that chart. Credit card delinquencies are skyrocketing, and that’s a major red flag. As Citigroup CEO Jane Fraser said, “There are clear signs of a softening labor market and the tightening of the consumer budget.”
Banks are so worried that they’re setting aside billions to cover potential loan defaults. JPMorgan alone set aside a whopping $3.1 billion. That’s not something they do lightly.
So what does this mean for you? It means that if you’re not prepared, you could find yourself on the wrong side of an economic downturn. Consumer spending drives the economy, and if it dries up, we could be in for a bumpy ride.
But don’t panic. There are steps you can take right now to protect your wealth and even profit from the coming storm. That’s where we come in.
At Market Monitors, our team of expert analysts is constantly scouring the markets for the best opportunities to grow and safeguard your money. We’ve helped our readers navigate through some of the toughest economic times in history, and we’re ready to do it again.
So don’t wait until it’s too late. Click here to subscribe to Market Monitors now and get our latest insights and recommendations delivered straight to your inbox. Your financial future depends on it.
To your wealth,
The Market Monitors Team
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