We have the 3rd (or 3½) bank failure of the year, First Republic Bank, of San Francisco, CA.
It's not a surprise, it's been on a death-watch since the Silicon Valley Bank collapse.
Interestingly enough, we now have see 3 (3½) bank failures, Silver Lake Bank, (the ½ bank failure) Silicon Valley Bank, Signature Bank, and now First Republic Bank, which was taken over by JPMorgan Chase.
All of the banks were closely tied to the tech industry, and Silver Lake and Signature were big into crypto.
I'm beginning to see a pattern.
Perhaps banks might want to reconsider catering to overpaid narcissists who are inclined to panic at the first inklings of a problem. It's a sucker bet.
FWIW, commercial bank failures in 2020 and 2019 were 4 for the year. I think that it is likely that we will see the total number of failures to match that.
Here is the Full FDIC list.
Enough for the graph to return:
1 comments :
Have you heard anything about what this is doing to FDIC reserve levels? I have a theory that the FDIC is going to reach a breaking point after which we will see bank failures and bank runs like there were back during the Great Depression.
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