I want what you have and you want what I have. Money solves the challenge of barter.

First Republic was flying high borrowing money at very low interest rates and then turning around and lending to homeowners below market average rates. Tough to compete with a lender offering a half to a full point lower than the national average.

As the interest rates rose those mortgages at the low interest rates started to lose their value. This on top of Silicon Valley Bank collapse spooked depositors and we had another run on a bank. Fortunately JP Morgan stepped in last night after the Feds announced the seizure of the bank.

The FDIC believes this and the other smaller regional bank failures are Unique within the banking industry.

Have a fantastic Week.