Did the Fed Just Acknowledge the Deposit Crisis?
Real Vision: Finance & Investing
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Is There a Root Cause for This Banking Crisis?
In terms of the root cause of this banking crisis, my own theory is that the spread between T bills and average deposit rates at US banks is simply too wide. And it incentivizes depositors to move the money from banks to money market funds. So as long as the Fed hikes interest rates, as they've done today, they've done nothing to contain the actual underlying reasons for this crisis unfolding.
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