The first quarter numbers are ready to be finalized! Despite the recent market turbulence, the quarter ended on a strong note. However, it seems that even with the recent market recovery in tech, many seem bearish and uncertainty among investors remain high.

The recent run on banks served as a stark reminder of the potential risks that come with digitization and rapid interest rate increases. It also highlighted the importance of diversification in how banks handle their deposits. These developments may lead to additional regulations being imposed on the banking industry.

The chart above is a sobering reminder of how quickly things can go awry. I was surprised to see Charles Schwab topping the chart with a staggering 171%.

Although the FED and other large banks intervened to calm depositors, many investors are still on edge as rates continue to rise, causing concerns about other banks’ unrealized losses on their bonds.

Nevertheless, many investors and FED members now anticipate rate cuts sooner than expected, as most believe that the rate hikes have already peaked. Personally, I share this view, as it’s hard to imagine a scenario that would force the FED to raise rates much higher from here, unless another major conflict were to erupt.

Would be nice to have the markets come down further so I can catch up on my goal for this portfolio!

In any case, let’s document this update and move forward! 🫡