.In the past two months, for the first time since the financial crisis, the total amount of securities and loans on the books of US banks has actually started to expand again.
What's more, in the past three weeks, the total amount of loans and leases made by banks (as opposed to securities) has started to grow
This could be very important news, if true, and were it to continue. Bank contraction has supplied major support for the dollar, limiting the impact of the Fed's inflation and capping gold near $1300. The M3 fractional-reserve "dollar promise supply" could truly explode as the banks pyramid upon the Fed's astounding increase of base money. Indeed, it looks like M3 has resumed rising. Sell your dollars.
http://www.businessinsider.com/you-wont ... in-2010-10
http://nowandfutures.com/key_stats.html
