Wow, not good. So under the seemingly quiet waters today, the banking crisis is still brewing. All that "confidence" and "plumbing" action by govts and central banks bought them less time than I thought.
FWIW I also bank with Wells Fargo as well as other institutions with my business. We have noticed just this week reduced transfer limits as well as additional days to clear funds. Keep in mind this is a business account and now our 30 day maximum limit from Wells Fargo to Chase is capped at 15k which is bonkers for a business. Our daily transfer limit has also been capped at 10k. There are severe controls in place at WF to reduce the risk of capital flight.
https://twitter.com/StealthQE4/status/1638048347599650817?s=20
Discussion
I think the trust between banks is also suffering.
Has been since 2019. That’s a high level overview of the repo market coming to a halt. The banks refuse to lend between each other. Repos and reverse repos a lot of the time are used to meeting liquidity regulatory requirements when they don’t have cash on hand that’s sufficient for certain Fed reports.