Divergence! Latest Bank Data Reveals Something Is Terminally Broken In The US Financial System

All I can say is “Yikes!!” Something is broken in the US financial system.

As I have discussed before, bank deposits are soaring while loan demand is … not.

The recent banking data shows a slowdown YoY in bank deposits, but also shows negative loan and lease growth at banks.

Residential mortgage growth is negative YoY. At least commercial mortgage lending is still growing, albeit at a lower rate.

Speaking of something being broken …

Powell and Yellen are probably screaming “Give our creation life!!!!!”

Yikes! Something happening.