{"id":1442947,"date":"2023-12-08T21:40:00","date_gmt":"2023-12-09T02:40:00","guid":{"rendered":"https:\/\/bugaluu.com\/news\/?p=1442947"},"modified":"2023-12-08T21:40:00","modified_gmt":"2023-12-09T02:40:00","slug":"us-bank-deposit-outflows-continue-to-surge-as-regional-stress-accelerates","status":"publish","type":"post","link":"https:\/\/bugaluu.com\/news\/us-bank-deposit-outflows-continue-to-surge-as-regional-stress-accelerates\/1442947\/","title":{"rendered":"US Bank Deposit Outflows Continue To Surge As Regional ‘Stress’ Accelerates"},"content":{"rendered":"

US Bank Deposit Outflows Continue To Surge As Regional ‘Stress’ Accelerates<\/span><\/p>\n

\n

Yesterday we found out <\/a>that inflows to money-market funds continue to be huge ($290BN in six weeks), and more importantly, regional banks’ usage of The Fed’s BTFP bailout facility surged to a new record high (even as regional banks surged<\/strong>…<\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

And so, with that shitshow in mind, we await the glorious manipulation of The Fed’s bank deposits data to reinforce that equity confidence.<\/p>\n

On a seasonally-adjusted basis, banks saw a $53.7BN deposit outflow…<\/strong><\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

However, on a non-seasonally-adjusted basis, deposits rose by $27BN<\/strong>…<\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

And even with the outflows (SA), the divergence between soaring money-market funds and bank deposits continues to widen…<\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

Excluding foreign bank deposits, domestic banks saw the third week of the last four of deposit outflows (-$40.6BN SA) with Large banks -$35BN (SA) <\/strong>and Small banks losing $5.7BN (SA). On an NSA basis, domestic banks saw inflows of $36.5BN last week with Large banks adding $32BN and Small banks adding $4BN…<\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

That adds up to $88BN (SA) of deposit outflows in the last four weeks (bank to its lowest total since May…<\/strong><\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

And on the other side of the ledger, despite deposits declining SA, loan volumes increased (SA) for the third week in a row <\/strong>with Small banks adding $2.1BN and Large banks adding $3.8BN…<\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

Finally, the key warning sign continues to trend ominously lower <\/strong>(Small Banks’ reserve constraint), supported above the critical level by The Fed’s emergency funds (for now)…<\/p>\n

<\/a><\/p>\n

Source: Bloomberg<\/em><\/p>\n

As the red line shows, without The Fed’s help, the crisis is back<\/strong> (and large bank cash needs a home – green line – like picking up a small bank from the FDIC).<\/p>\n<\/div>\n

Tyler Durden<\/a><\/span>
\nFri, 12\/08\/2023 – 16:40<\/span><\/p>\n

\u200bhttps:\/\/www.zerohedge.com\/markets\/us-bank-deposit-outflows-continue-surge-regional-stress-accelerates<\/a>\u00a0<\/p>\n

\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

US Bank Deposit Outflows Continue To Surge As Regional ‘Stress’ Accelerates Yesterday we found out that inflows to money-market funds continue to be huge ($290BN…<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1442947","post","type-post","status-publish","format-standard","hentry","category-news","wpcat-1-id"],"_links":{"self":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1442947","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/comments?post=1442947"}],"version-history":[{"count":0,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1442947\/revisions"}],"wp:attachment":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media?parent=1442947"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/categories?post=1442947"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/tags?post=1442947"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}