US small bank cash reserves plummeted by $258 billion last week below the level considered a constraint, according to ZeroHedge.
This excludes a $126 billion still sitting at the Fed’s emergency lending program that expired in March.
It marked the largest decline in bank deposits since April 2022 when $336 billion came out of the banking system.
Meanwhile, US regulators have seized Republic First Bank on Friday and agreed to sell it to Fulton Bank, another regional bank with $6 billion in total assets.
The FDIC projects the failure will cost the fund around $667 million.
The regional bank crisis appears to be far from over.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
