by Pam Martens and Russ Martens
Wall Street on Parade
The indefatigable Dennis Kelleher, Co-Founder and CEO of the Wall Street watchdog, Better Markets, has just released his organization’s monthly newsletter for January 2025 and it’s a humdinger.
Kelleher warns that the financial deregulators that incoming President Donald Trump has packed into his administration means “that the clock is ticking on a coming catastrophic financial crash that will likely be much worse than 2008.”
Kelleher adds that this “is not hyperbole.” He cites evidence from past financial crashes, writing:
“…there is always a lag after deregulation and the creation of artificial liquidity. That was true for ‘roaring ‘20s’ followed by the crash and Great Depression; the ‘great moderation’ of the early 2000s followed by the crash and Great Recession; the deregulation of the first Trump administration in 2017-2020 that led to the 2023 banking crisis when 3 of the 4 largest bank failures in US history happened. Much worse is likely to happen next time.”
The potential for another great crash might explain why the Vice President for Supervision at the Federal Reserve, Michael Barr, is abandoning the ship and lowering the life raft.