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...The Federal Deposit Insurance Corporation on Thursday said the number of weak US banks had risen by eight to 52 in the final three months of 2023, the biggest jump since the demise of SVB....
...In 2009, Mnuchin led a group of private equity investors that bought IndyMac, a mortgage lender that failed in the 2008 financial crisis, from the Federal Deposit Insurance Corporation....
...Nearest subway stop is Houston Street Station on the 1 line, but West 4th St (A, C, E, B, D and F lines) is just a short walk away. How much? $20 per person....
...Israeli human rights group B’Tselem says 620,000 Jewish settlers are living in East Jerusalem and the West Bank, which have been occupied by Israel since the six-day war in 1967....
...US Federal Reserve chair Jay Powell this month hinted that the central bank would move slowly. US bond yields, anticipating problems, have risen this year....
...Late last year, the Federal Deposit Insurance Corporation proposed requiring banks to disclose more data on what types of shadow banks they are lending to....
...Triple-B [the lowest rung of IG] spreads are at about 120bp, whereas double-B high-yield is at 200bp. So you pick up 80bp from going from triple-B to double-B....
...For a gestalt image, start with the Bank of America fund managers’ survey....
...As you can see at right, bank credit is still restricted, but spreads don’t care....
...Slok: In some cases triple C, even single B credit looks more vulnerable, because those are the firms that are more vulnerable to higher interest rates....
...Deutsche Bank has hired Alexandre Lotfi as head of wealth management lending for the UK and central Europe at its private bank. He previously worked for the Bank of Singapore....
...After rising through the ranks at Goldman Sachs, he made his fortune reviving IndyMac after it was one of the largest US bank failures during the 2008 crisis....
...Federal Reserve Board governor Michelle Bowman and Federal Reserve Bank of Richmond president Thomas Barkin will make public comments today....
...HSBC has unveiled its second $2bn share buyback of the year after rising interest rates helped the UK bank post bumper quarterly profits of $8.8bn....
...The jump in interest rates to the highest levels in decades has led to a big increase in mortgage scams, according to banks and regulators....
...Central banks, including the Federal Reserve and European Central Bank, will be influenced by an elusive and controversial concept: the so-called neutral rate of interest — the borrowing rate that keeps...
...Should the Federal Reserve cut policy rates in March? If you look at the so-called Taylor rule — named after the legendary American economist John B Taylor — the answer is a definite “yes”....
...That’s five or six rate cuts, assuming the bank goes 25 basis points at a time. Is the market too giddy?...
...One more thing: We are launching a new central banks newsletter for premium subscribers....
...There will again be plenty more central bank speakers — a good excuse to once again plug my colleague Chris Giles’s excellent Central Banks newsletter (for Premium subscribers) — and the earnings-season...
...So money that did go into high yield went into higher quality, including double-B bonds....
...There will also be monetary policy meeting minutes from the European Central Bank and the US Federal Reserve, as well as plenty more central bank speakers....
...He adds that the US Federal Reserve has had success in taming wage inflation, which is proving to be a new tailwind for profit margins....
...“Banks are nervous to underwrite single-B credit with M&A timelines which could be six months of holding the risk,” said Lauren Basmadjian, co-head of liquid credit at Carlyle....
...Weakest links pertain to companies rated “B minus” and lower with negative outlooks....
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