Bank reserves at $2.8T. Down $102B in a week. Reverse repo nearly empty. U.S. banks have borrowed $50 Billion in emergency funds in the last 15 days.
It’s happening quietly. You have to watch the numbers more than the headlines. The liquidity that once made the system feel invincible is slipping away. The US banking system’s reserves, a key factor in the Federal Reserve’s decision to keep unwinding its balance sheet, tumbled for the third straight week dropping to the lowest level …
