First Republic Bank (FRCB)

[StockLogistics]

And this is just one bank… how much in deposits are these big players going to send elsewhere until they have nothing left themselves, said it before and I’ll say it again, this strategy is the equivalent of a dumpster fire:

“At the closing bell on Friday, JPMorgan Chase (JPM) was down 3.8%, Citigroup (C) was down 3%, Bank of America (BAC) fell 4% and Wells Fargo WFC moved lower by 3.9%. Those four banks each made $5 billion in uninsured deposits into First Republic Bank.

Goldman Sachs (GS) fell 3.7% and Morgan Stanley (MS) dropped 3.3%. Each provided $2.5 billion to the package of deposits for First Republic.

Bank of New York Mellon (BK) and State Street (STT) were down 4.1% and 4% respectively, while Truist (TFC) was down 7.2%, U.S. Bancorp (USB) was down 9.4% and PNC Financial Services (PNC) was down 4.9%. Those five are providing $1 billion each.

Pershing Square Capital chief Bill Ackman said the $30 billion injection by the banks spreads the default risk to the U.S.'s largest banks and that the move amounted to "bad policy."

"The structurally important banks would never have made this low return investment in deposits unless they were pressured to do so and without assurances that [First Republic Bank] deposits would be backstopped if it failed," Ackman wrote in a tweet late Thursday. “