Hints and tips:
...(Ethan Wu) Bank earnings Banks are the most economically sensitive of businesses. They earn a spread by acquiring money at a lower price and lending it at a higher one....
...To mark this moment while it doesn’t yet feel like a mistake, we’ve added a festive Jerome Powell-themed design to our Redbubble store: — Jerome Powell, Christmas Saviour (black text)— Jerome Powell, Christmas...
...Unsurprisingly, the Bank Policy Institute is a US trade group representing banks. Jamie Dimon chairs the group’s board, which is basically a list of top executives from the biggest money-centre banks....
...The review, which is expected to last about a year, is roughly in line with the central bank’s plans to update the document every five years....
...The remarks highlight the widening gap between rate expectations for the Fed and other big central banks....
...Practice has shown that, ultimately, bondholders of the same failing bank have often (but not always! So do read the prospectus!)...
...Powell was speaking in Washington just hours after European Central Bank president Christine Lagarde signalled the central bank could begin lowering interest rates in June....
...Fed should the central bank refuse to make big changes....
...Even so, some economists believe recent US data — notably on inflation — will force the central bank to be more cautious....
...Powell said this US “exceptionalism” in the face of weaker global growth meant the central bank could afford to take its time....
...in a brazen challenge to the US central bank’s independence....
...Hudson Lockett What will Fed speakers this week tell us about rate cuts and regional bank jitters?...
...The US central bank increased borrowing costs by 525bp in just 18 months after inflation surged to its highest level in decades....
...But the Fed chair said the central bank still needed “greater confidence” that inflation was “sustainably” lower....
...Jérôme Legras is a managing partner and head of research at Axiom Alternative Investments If you think the time to worry about US banks’ solvency and capital has passed, think again....
...As a central bank, you’re better off being too conservative right now.”...
...Powell sought earlier in the week to cool speculation about a March rate cut, warning that it was not the central bank’s “base case”. “Powell killed a March cut....
...Outside emerging markets, Switzerland’s central bank also lowered its inflation forecasts, Norway proved to be a fun sponge with a further quarter-point rise, and the Bank of England opted to keep rates...
...The central bank was “very focused” on not waiting too long to cut rates, he added....
...The European Central Bank, the Federal Reserve, the Bank of England and other official forecasters failed to see how the end of Covid-19 lockdowns and an energy shock triggered by Russia’s full-scale invasion...
...Jay Powell has sought to push back on speculation that the Federal Reserve had won its fight against inflation, even as traders boosted bets that the US central bank could start cutting interest rates as...
...He also points to banks, a prominent holder of Treasuries. As Bank of America itself has learned recently, holding low-yielding bonds in a high-rate environment is not without costs....
...Matthew Raskin, a former senior staffer at the Federal Reserve Bank of New York who is now US head of rates research at Deutsche Bank, said signalling anything more than that could complicate things for...
...That said, it means that predictions from people such as San Francisco Fed president Mary Daly and European Central Bank president Christine Lagarde about the clean tech boom creating big inflation pressures...
...Powell talks tighter financial conditions An economy in rude health buys a central bank time to wait....
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