Tag: Banks
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Fed’s Powell versus inflation versus the markets
Fed Chairman Jerome Powell at yesterday’s press conference. Photo: Alex Wong/Getty Images On Wednesday afternoon, the Federal Reserve not only raised interest rates for the ninth consecutive time in the face of a banking crisis. It also confirmed that its plans for the year remain more or less intact and that almost all of its […]
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Swiss regulator defends controversial $17 billion write-down of Credit Suisse bonds
“The AT1 instruments issued by Credit Suisse contractually stipulate that they will be fully amortized in a ‘viability event’, particularly if exceptional government assistance is provided,” FINMA said in a statement Thursday. “As Credit Suisse received extraordinary liquidity support loans on March 19, 2023 backed by a federal default guarantee, these contractual terms were met […]
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American banking supervisors criticized in the European Union after SVB collapse
Regulators and officials across the European Union are nervous about potential contagion to their banking sector following the recent turmoil in the United States. However, they believe the US should learn from some of the regulatory work that has been introduced in the euro area. Basel III is a series of reforms that strengthen supervision […]
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Jerome Powell flipped the script
Federal Reserve Board Chairman Jerome Powell gives a press conference following a meeting of the Federal Open Market Committee at the Federal Reserve on March 22, 2023 in Washington, DC. Alex Wang | Getty Images News | Getty Images This report comes from today’s CNBC Daily Open, our new newsletter for international markets. CNBC Daily […]
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Janet Yellen’s guarantee to banks has a catch
US Treasury Janet Yellen speaks at the American Bankers Association Washington Summit on March 21, 2023 in Washington, DC. Drew Anger | Getty Images News | Getty Images This report comes from today’s CNBC Daily Open, our new newsletter for international markets. CNBC Daily Open brings investors up to speed with everything they need to […]
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Finance Minister Yellen says the government can hold back more deposits if necessary
U.S. Treasury Secretary Janet Yellen testifies before the Senate Finance Committee on the proposed 2024 budget request, on Capitol Hill in Washington, DC, March 16, 2023. Andrew Caballero Reynolds | Afp | Getty Images Treasury Secretary Janet Yellen said on Tuesday that the government is ready to provide further deposit guarantees if the banking crisis […]
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UBS-Credit Suisse deal puts Switzerland’s reputation at stake
UBS on Sunday agreed to buy its embattled domestic rival Credit Suisse for 3 billion Swiss francs ($3.2 billion) as part of a government-backed deal at cut prices. Swiss authorities and regulators helped regulate the deal, which came amid fears of contagion to the global banking system after two smaller US banks collapsed in recent […]
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First Citizens makes bid for failed SVB
Photo illustration: Pavlo Gonchar/SOPA Images/LightRocket via Getty Images First Citizens BancShares Inc. has made a bid to acquire the entire bankrupt Silicon Valley Bank, according to a person familiar with the matter. Why it matters: A company-wide buyer would help the FDIC in its efforts to stabilize the company and get SVB out of receivership. […]
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Do you want to buy shares of major banks? JPMorgan JPM vs Bank of America BAC explained
Not only the shares of regional banks have been affected by the recent banking crisis, the shares of large-cap banks have also plummeted. But some analysts think the drop has been exaggerated, and retail investors flocked last week to buy the dip in the largest, traditional US banks. Still, there may be more room to […]