Hints and tips:
...Neither Moody’s nor S&P had stripped SVB of its investment grade rating by the time it failed in March....
...The S&P 500 and the Nasdaq Composite closed 0.7 per cent higher on Tuesday, notching their fifth consecutive day of gains. The S&P is just shy of the all-time closing high that it hit last month....
...Separately, Fed governor Randal Quarles announced yesterday he is to leave the US central bank next month....
...So during her tenure as governor, she came out against many of the reforms and adjustments to banking regulations that the previous vice-chair of supervision Randal Quarles spearheaded....
...Investors took the faster tightening timeline in their stride, with the S&P 500 closing higher on Wednesday....
...Wall Street’s blue-chip S&P 500 index closed the trading session up 0.2 per cent, also reaching an all-time high, while the technology-focused Nasdaq Composite was up 0.4 per cent by the time the closing...
...Some senior Fed officials, such as vice-chair Randal Quarles, have called for discussions about reducing the central bank’s $120bn of monthly bond purchases that have supported markets through the pandemic...
...Wall Street’s blue-chip S&P 500 index was up 0.2 per cent at the closing bell, while the technology focused Nasdaq Composite rose 0.6 per cent....
...“We see a possibility for a few hawkish dissents including [Eric] Rosengren (very likely), [Esther] George (likely) and [Randal] Quarles (possible),” said economists at Bank of America....
...But for the past decade it has been crucial to the orchestration of financial regulation — overseeing the implementation of the G20’s rescue operations after 2008 and supervising the Basel Committee on Banking...
...Looking ahead, investors are bracing for remarks from Federal Reserve chair Jay Powell and vice-chair Randal Quarles and data on retail sales and consumer prices....
...In markets, US stocks rallied into the weekend following a turbulent few days that saw concern over higher interest rates drive the S&P 500 down to levels not seen since early July and unsettle equity markets...
...Randal Quarles, the Fed’s regulatory chief, said this had created “one-time challenges”. Fed officials noted that the test regime had become stricter this year....
...Investors will also tune in to Fed vice-chair Randal Quarles’s semi-annual testimony to Congress on banking supervision....
...That is more than twice the increase in the S&P 500 index — an uplift driven by the promise of less regulation, lower taxes and bigger profits under higher interest rates....
...“We believe the results underscore a healthy consumer backdrop and are a positive read for retail broadly,” Randal Konik, analyst at Jefferies, noted....
...The S&P 500 finished the day 1.2 per cent higher at 2,779.60, rising for the third consecutive day....
...The sell-off gained momentum on Monday, with the S&P 500 index and Dow Jones Industrial Average both shedding more than 4 per cent by the close....
...US earnings About 60 companies listed on the S&P 500 are slated to report results next week....
...Financials ripped higher after the Senate confirmed Randal Quarles as the Federal Reserve’s supervisory chief. Mr Quarles is expected to take a softer stance on bank regulations....
...– From the WSJ, with founder-biased tech IPOs in mind: “S&P said Monday that it would no longer consider companies with multiple share classes for its main U.S. stock indexes....
...The S&P 500’s string of highs comes during a protracted period of low volatility....
...On Thursday, the Senate confirmed Randal Quarles as the Federal Reserve’s supervisory chief. Mr Quarles is expected to take a softer stance on bank regulations....
...Randal Quarles has recently come on board as the Fed’s vice-chairman for financial supervision, and President Trump is nominating Marvin Goodfriend to be another one of the governors....
...Investors cheered the news and the companies led the S&P 500 on Tuesday....
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