U.S. banking deposits decline nearly $1 trillion in a year

Commercial bank deposits have plunged since the failures of Silicon Valley Bank and Signature Bank.

But what if we told you that bank deposits had been on a steady decline since hitting a peak in April 2022?

That’s right.

In the last year, bank deposits have decreased by nearly $1 trillion, from a record high of $18.158 trillion to $17.179 trillion.

Interestingly enough, you would think deposits would head in the other direction since interest rates were on the rise and consumers would receive a better rate on return.

Nobody really knows what is going on on this front.

But it is worth monitoring in the coming weeks.