Bank Run

"Bears Need More": Why One Trader Thinks The Selling Is Now Over

"While bears awake on panic, rumors and speculation, they ultimately need the sustenance of genuine negative fundamentals to stay alert and maintain their focus for a persistent bout of risk aversion. Right now there are thin pickings for them.... In fact, the worst is probably over already for U.S. equities."

"Canada Hasn't Seen A Bank Run Such As This In Decades" - Finance Minister Says Home Capital Bailout Is Possible

"In the early hours of Monday, May 1, exhausted representatives for Home Capital and a group of lenders hung up the phone in frustration. A deal to give the company an emergency $2-billion loan appeared to be falling apart. Directors at the mortgage firm felt that without the money, they wouldn’t be able to open for business a few hours later. The dramatic story of a financial institution’s near-collapse."

Moodys Slashes Ratings On 6 Canadian Banks, Fears Asset-Quality Deterioration, Soaring Household Debt

Amid Poloz-described "unsustainable prices" in various cities, and just days after the collapse of Canadian mortgage lender Home Capital Group and our discussion of the dire state of Canadian savers (and their record household debt), Moodys has cut the rating son six of Canada's largest banks because of "ongoing concerns that expanding levels of private-sector debt could weaken asset quality in the future."

Home Capital Bank Run Accelerates As Company Scrambles To Find Additional Liquidity

Canada most troulbed non-bank lender Home Capital confirmed that the bank run at subsidiary Home Trust has failed to slowdown, and as of May 8 "deposit balances are expected to be approximately $192 million." According to the latest data, another 50% of deposits have been pulled in the past week, and are now down over 90% since March 28.

Home Capital Uses Up $1 Billion "Lifeline", Seeks Additional Funding

Home Capital Group is "actively seeking expanded sources of funding" as it has drawn half of its C$2b rescue loan. “This is a fluid situation, and we are optimistic our challenges are temporary,” said Pino Decina, executive vice president of residential mortgage lending.

Contagion Fears Rise In Aftermath Of Home Capital Group Collapse

“The probability has gone from infinitesimal to possible -- unlikely, but possible,” said Hall, chief investment officer of the Calgary-based money manager, in an interview Saturday. “If depositors or bondholders start to lose faith in their banks, well then that becomes systemic.”