Posts Tagged ‘banking’

Fdr Bank Holiday

November 12th, 2010 No comments

fdr bank holiday
Was the “Hundred Days” when FDR closed all banks?

During the New Deal when the Hundred Days thing happened and he declared a nationwide bank holiday did that mean he closed all banks? Or was that the time between Franklin Roosevelt’s inaugural address and his submission of legislation to Congress

The 100 days refers to the first 100 days of Roosevelt’s administration, in which he met with Congress for 100 days. During those 100 days of lawmaking, Congress granted every request Roosevelt asked.
On March 4, 1933, in his first inaugural address, he announced:

“Practices of the unscrupulous money changers stand indicted in the court of public opinion”
As a result, nearly all banks in the country were closed by their governors, and Roosevelt kept them all closed until he could pass new legislation. On March 9, Roosevelt sent to Congress the Emergency Banking Act; the act was passed and signed into law the same day. It provided for a system of reopening sound banks under Treasury supervision, with federal loans available if needed. Three-quarters of the banks in the Federal Reserve System reopened within the next three days. Billions of dollars in “hoarded” currency and gold flowed back into them within a month, thus stabilizing the banking system.

FDR’s Fireside Chat on Backing Up the Banking System-Part 1