Dick Bove on $30 billion bank rescue of First Republic Bank: "I think that the near-term banking crisis is definitely over"

I think that the near-term banking crisis is definitely over.  I think that if you go back in history, you know that time before the Federal Reserve was formed, that's what was done to preserve stability in the banking industry.  The banks would come together and basically share funds and bail out the problem company. 

The big event in 1907, which ultimately gave rise to the Federal Reserve, is when JP Morgan supposedly got all the bankers in his house, locked the doors, and said you can't leave until you solve this banking crisis.  And they solved it.  And then in more recent times, the mutual fund that went down [in 2008], the same thing happened.  Everybody got together, put money in, except for Bear Stearns, which refused to do so.  And so we're seeing it happen again.  And it works.  It's exactly the right thing to do.  The federal government should not have to bail out the banking industry.  The banks should have to bail out the banking industry and that's what they're doing.

~ Dick Bove, Odeon Capital Group, "Here's why the banking crisis is over, says long-term sector analyst," Yahoo Finance, March 17, 2023