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. ↓

fredgraphfilenonborrowednegative1.png

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.  ↓

fredgraphfile215totalborrow.png                      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

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3 responses to “Banks’ nonborrowed reserves go below zero into negative territory

  1. what does a negative non-borrowed reserve mean???

  2. It mean bankrupt.
    It mean insolvency.
    Game Over
    Checkmate
    Tilt

  3. Many of guys blog about this topic but you said really true words.

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