Comment: Global Picture. Our banks take EU Bonds in lieu of local invest

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Global Picture. Our banks take EU Bonds in lieu of local invest

American Banks lend in Europe, because they get higher rates for their money. The loans may be risker, but fortunately for them the risk is low, because they can turn to the Fed Reserve to bail them out.

Now here is the really bad part...the money they lend in Europe and Asia is money that is NOT lent to small and medium American companies to expand and grow business and jobs here. They do not lend here, because the rates are held low, nearly 0% by the Federal Reserve. So the most profitable operation for American banks is to lend in Europe, get 7% or more, get the money at low discount rate from Fed and NOT lend locally in America.

Risk is low they get bailed out.

This keeps EU going, and does not help USA.

"This isn't what the govern meant"

"Win the crowd and you will win your freedom"