By March 1933 many states had already closed their banks
The NY Stock Exchange suspended trading on the day of Roosevelts inauguration
Banks only had $6 billion cash to meet $41 billion deposits
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Roosevelts Actions
March 1933 Emergency Banking Act - 4 day bank holiday which gave the treasury the power to investigate all banks. This was supported by the RFC which took over bank debts.
June 1933 Glass-Steagall Act - Prevented "high street" banks in taking part in investment banking. Guaranteed all bank deposits up to $5,000.
June 1934 - Securities and Exchange Comission - Regulated the stock market
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Was he sucessfull?
70% were able to reopen by the end of March 1933
Roosevelts first 2 terms saw less banks closures than any previous administration
For the first time in almost 60 years, there were almost no bank closures in 1936
$1 billion had been deposited into banks by the end of March 1933
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