Banks’ nonborrowed reserves go below zero into negative territory

Click on the thumbnail and weep.  This chart is the latest, and was updated as of 2/22/08.  It’s dramatic. ↓

Now click on this thumbnail to see latest (as of 2/15/08) Fed chart for banks’ total borrowings from the Federal Reserve -  without precedent it would seem.  ↓

                      For an excellent discussion of the meaning of all of this, check out “Borrowed Reserves and Tinfoil Hats” from Mish’s blog:  http://globaleconomicanalysis.blogspot.com/2008/02/borrowed-reserves-and-tin-foil-hats.html