Banks are borrowing from the Fed like its 1932

This two charts come from Jim Sinclair's excellent MineSet blog and are a riminder of how the current credit crisis compares to the 1930 depression era.

chart1 highlights the borrowed reserves as a percentage of total reserves at Federal Reserve Banks. Free reserves were at a depression level negative 77% last month.

chart2 shows the total borrowing in dollar terms of depository institutions from the Federal Reserve.

click to enlarge