This is what really kills me about the current monetary policy of the Fed. The banks are crying that they need cheap money to provide liquidity and stay solvent. When they are sitting on literally billions of dollars of hard assets (real estate).
However there is a catch-22 that once they start liquidating stuff, it will set comps and lower the net worth of whats left.
So we all end up paying for this via inflation. And the banks are going to get slammed anyways, as they are going to need to move the inventory at some point. They can’t hold it forever.
