US Bank Crisis Looms As Deposit Outflows Accelerated Last Week, Loan Volumes Stagnate

With the imminent expiration of The Fed’s bank bailout facility (reminder they were 12-month collateralized term loans), and with The Fed’s reverse repo facility see a massive $128BN in liquidity sucked out of it in the last two days, this week’s excitement over at NYCB again is sure to have seen some depositors question their decisions (but we won’t know about that for a couple of weeks as The Fed needs time to ‘manage’ the data).