Hedge fund manager Kyle Bass reported earlier today that the Bank of Jinzhou has failed. Other news agencies reported earlier this week that the bank had been having liquidity problems because of its dollar denominated debt. Chinese Bank With $100 Billion In Assets Is About To Collapse https://www.zerohedge.com/news/2019-07-25/chinese-bank-100-billion-assets-about-collapse Bank of Jinzhou had around $100 billion dollars in assets and if one is going to make a comparison to the US' 2008 financial crisis, the bank would be most closely compared with Washington Mutual which has around $300 billion dollars in assets at the time it surprisingly failed in June 2008 https://www.financial-dictionary.info/terms/washington-mutual-bank/ Wachovia, which was bought out by Wells Fargo for $1/share was far larger than Bank of Jinzhou at over $500 billion dollars in assets at the time of its merger with Wells Fargo https://www.calculatedriskblog.com/2008/11/wells-fargo-and-wachovia-background-of.html In early June, less than 2 weeks after Baoshang Bank was taken over by the PBOC and creditors of Baoshang Bank were given up to a 30% haircut (which shocked everyone as everyone had expected a full bailout), Bank in Jinzhou failed an audit and their bank auditors quit. Bank of Jinzhou auditors resign citing loan inconsistencies https://www.scmp.com/business/companies/article/3012865/bank-jinzhou-auditors-resign-citing-loan-inconsistencies This was an enormous red flag and the eventual collapse of the bank was predictable. Last Friday, Zero Hedge released an extensive, well researched and well written piece about the growing collateral, counter party and contagion problems in the Chinese banking system. Something Just Broke In China As Repo Rate Soars To 1,000% Overnight https://www.zerohedge.com/news/2019-07-19/something-just-broke-china-repo-rate-soars-1000-overnight Articles Mentioned During This Short Update Show: 1) Chinese Bank With $100 Billion In Assets Is About To Collapse https://www.zerohedge.com/news/2019-07-25/chinese-bank-100-billion-assets-about-collapse 2) China's Embattled Jinzhou Bank Courts Investors as Bonds Tumble https://www.bloomberg.com/news/articles/2019-07-25/jinzhou-bank-bonds-drop-on-report-regulator-looking-at-liquidity 3) Regulators in China discuss liquidity issues at Bank of Jinzhou - sources https://www.reuters.com/article/china-bankofjinzhou-idUSL4N24P31K 4) China Bank of Jinzhou says in talks with possible investors, renewing contagion worry https://www.reuters.com/article/us-china-economy-bank-of-jinzhou-idUSKCN1UK106 5) Baoshang Bank Could Be China’s Indybank http://pentoport.com/baoshang-bank-could-be-chinas-indybank/ 6) 10 years ago: IndyMac collapses and starts a flood of bank failures https://money.cnn.com/2018/07/11/news/companies/indymac-failure/index.html Please visit the Wall St for Main St website here: http://www.wallstformainst.com/ Follow Jason Burack on Twitter @JasonEBurack Follow Wall St for Main St on Twitter @WallStforMainSt Commit to tipping us monthly for our hard work creating high level, thought proving content about investing and the economy https://www.patreon.com/wallstformainst Also, please take 5 minutes to leave us a good iTunes review here! We only have about 51 5 star iTunes reviews and we need to get to our goal of 100 5 star iTunes reviews asap! https://itunes.apple.com/us/podcast/wall-street-for-main-street/id506204437 If you feel like donating fiat via Paypal, Bitcoin, Gold Money, or mailing us some physical gold or silver, Wall St for Main St accepts one time donations on our main website. Wall St for Main St is also available for personalized investor education and consulting! Please email us to learn more about it! If you want to reach us, please email us at: [email protected] **DISCLAIMER- ANYTHING MENTIONED DURING THIS AUDIO OR SHORT VIDEO RECORDING IS FOR INFORMATION & EDUCATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE INVESTMENT ADVICE. JASON BURACK AND HIS GUESTS ARE MERELY STATING THEIR OPINIONS ON DIFFERENT TOPICS RELATED TO INVESTING, THE ECONOMY, MARKETS OR COMPANIES. PLEASE TALK TO YOUR INVESTMENT ADVISOR AND DO ADDITIONAL RESEARCH AND DUE DILIGENCE ON YOUR OWN BEFORE INVESTING AND MAKING IMPORTANT INVESTMENT DECISIONS.- DISCLAIMER**