The events of the last few weeks have spooked investors and regional banks alike. More importantly, the people who go to work and make the economy run are starting to question whether their bank deposits are safe. Fears of more bank runs after the collapses of Silicon Valley Bank (SVB), Signature Bank, Silvergate Bank and Credit Suisse are rampant.
And these fears are not unfounded, if you ask me. For instance, when you turn on the TV and see that First Republic needs a $30 billion bailout to stay afloat, it doesn’t inspire confidence in the banking system.