Alright, I'm just gonna say it, is there another banking shoe to drop?

From American public media, this is Marketplace.

In Los Angeles, I'm Kai Rizzo, it is Friday today the 24th of March.

Good as always to have you along.

You know, it has been a week in this economy, huh?

Less stressful than last week I would suggest, but still a tad fraught, so we are gonna

get right to it.

Gina Smiley's at the New York Times, so you're ready, is at Politico, hey you two.

Hey, okay.

Hey, so Gina, let's interrogate this whole, is there another shoe to drop thing?

And I want to talk specifically about banks and how much they are borrowing from the Federal

Reserve.

You wrote about that this week, they're borrowing a lot.

How concerning is that to you?

Yeah, so I think you can take it one of two ways.

You can look at it and say, well, they're borrowing an awful lot and that is clearly a sign

of stress banks don't just borrow from the Fed, you know, Nilly-Willie, they do it when

they feel like they need to have that cash in the bank, so to speak.

But I think that the flip side of that is the fact that they are borrowing from the Fed

suggests that they are sort of, you know, prepared to take that insurance out, that they're

ready to, you know, touch the Fed's discount window, touch the Fed's various programs that

it has to serve as sort of a backup to the whole banking system.

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