If so, then some of the inventory accumulation in the second quarter may have been an intentional re-stocking of inventories that had become too lean. Survey results from the Institute of Supply Management support this conjecture. For several years, a majority of respondents had said that their customers’ inventories were too low.
As for the future of state banks, 75 percent of all new charters are state bank charters. The dual banking system, which is such an important part of our financial heritage, continues, thanks in significant part to our nation's state banking commissioners, who responded to the Reigle-Neal legislation by developing home/host state bank supervision accords, which facilitated banks' wanting to branch across state lines.