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IPFS News Link • Central Banks/Banking

The Fed broke regional banks...and we are just in phase

• Diane M. Kimura - LinkedIn

This is an increase of  $57.8 Bil of new, digitally printed US dollars out of thin air from the FED.  This is inflationary while the sell-off of the bank stocks is deflationary.

According to the chair of the FDIC, $620 billion of such unrealized losses on U.S. bank balance sheets in early March.  Two recent estimates suggest the outstanding losses could be as much as $1.7 trillion excluding SVB and PACW. Fed discount window and FHLB borrowings surged since March. The FHLB alone loaned $250 bil in the second week of March alone.

"The $1.25 trillion-asset system of 11 regional banks issued a combined $136.5 billion in discount notes and bonds on Tuesday and Wednesday [March 14 & 15], a tapering from Monday's $111.8 billion — the largest single day of issuance in the Home Loan banks' 90-year history," said a report from the American Banker publication.

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