CAPITAL STRUCTURES CURRENTLY MORE FRAGILE THAN DEPOSIT SECURITY

Headline:
You Can Ignore Reality…But You Cannot Ignore The Consequences Of Ignoring Reality.

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Bank Capital Structures = Debt + Equity

Which Are Both Structurally Supported By Deposits.

Deposit Instability/Outflows = Stress + Weaken Bank Capital Structures…

Thus…Severely Depressing Investor Confidence.

Furthermore And Importantly…Regional Banks Are Subject To A Less Stringent Regulatory Framework…Than The Systemically Important TBTF Mega-Banks…

Resulting…For Now…In Much Harsher Financial Market Punishment For The Regional Banks.

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So…UNTIL Investors/Traders Perceive ALL Banks As Sufficiently Capital Fortressed…

Architected By A Diversified + Stable Depositor Base…

Confidence In Most Financial Capital Structures…Especially The Regional Banks …Will Continue To Be Tremendously Scrutinized + Tested By Market Actors.

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However…When Investor Confidence + Perception Nadir…

The Subsequent Rally In Financial Equities Will Be Exceptionally Steep + Swift.

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Contact The Author: Dominate@GlobalSlant.com