Banks' Fed Borrowings Down

More signs of unfreezing:

The Fed, in a report issued Thursday, said commercial banks averaged $38.153 billion in daily borrowing over the week that ended Wednesday. That was down slightly from $38.155 billion in the week ending May 20.

Investment firms didn't draw any loans over the past week from the Fed program. In the prior week the firms also took a pass on the emergency loans, something that hadn't happened since early September. Firms drew just $482 million in the week that ended May 13.

If this keeps up, banks will shortly be able to operate without a net again. . . .

Also, as Bloomberg noted Thursday, Fed loans and other extensions to financial institutions are running off so fast that the Fed may have to scramble to maintain its balance sheet at the desired recession-fighting heft. . .