Accoridng to the latest reports, it seems that there is a massive amount of money that has just exited the US banking system. Check out the latest reports below.
US banking system drops loads of money
New numbers from the Federal Reserve show the amount of money people are pulling out of their bank accounts is once again on the rise.
Based on data gathered by the Federal Reserve Economic Data (FRED) system, bank depositors withdrew a total of $30 billion from their American accounts between May 10th and May 17th.
That represents an increase of more than $4 billion over the previous week.
The US banking system now has a total of $17.15 trillion in deposits – this is compared to $18.03 trillion one year ago.
The deposit flight follows the failures of three large regional banks – Signature Bank, Silicon Valley Bank and First Republic.
PacWest, a bank based in Los Angeles, is currently facing financial challenges and is striving to improve its balance sheet. As part of this effort, it is selling real estate construction loans worth $2.6 billion.
We suggest that you check out the original article in order to learn more details about this.
Addressing CBDC implementation
Several international groups, including the Fed, Bank of Japan, European Central Bank, and the Bank of England, collaborated on a paper about central bank digital currencies (CBDCs).
From possible implementation to the policy questions around CBDCs, the paper is the newest in a series of reports that go back to 2020.
“Some of the members of this group are approaching a point where they may decide on whether or not to move to the next stage of their CBDC work,” the paper said. “This may include deeper investment in design decisions relating to technology, end user preferences and business models, while leaving open the decision on whether to issue CBDC.”
