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Newsclips
The Velocity of Deposits Has Increased
March 21, 2023
The catalyst for a problem is often unanticipated. In the case of the latest banking crisis, the public's "discovery" of higher rates outside their bank accounts was one such catalyst. As deposits left banks for money market funds, banks were caught off guard. The adoption of mobile banking might have changed banking forever.
Newsclips
Quick Comments/What We’re Reading
March 21, 2023
Today's topics include officials hint at further FDIC deposit insurance, can central banks have their cake and eat it too?, banks tap the FHLB for $304 billion, fixing a banking crisis, checking in on the consumer, who owned credit suisse's AT1 bonds?, quantifying FOMO, and leave no stone unturned
Newsclips
Cartoons
March 21, 2023
Conference Calls
The 2023 Banking Crisis
March 20, 2023
A replay of our March 23, 2023 conference call.
Newsclips
The Most Uncertain Fed Meeting in a Generation
March 20, 2023
With only two days to go until the next FOMC meeting, traders are still not sure what to expect from the Fed. Since forward guidance began in 1994, there has not been a meeting with this much uncertainty so close to the meeting.
Newsclips
Quick Comments/What We’re Reading
March 20, 2023
Today's topics include UBS/Credit Suisse/Swiss National Bank's busy weekend, the Fed's 'sorta' busy weekend, Buffett's busy weekend, tier 2 banks band together in asking for FDIC insurance, tier 2 banks' importance to the economy, a binary outcome for the banking industry, and talkin' about the banking crisis & crypto
Newsclips
Cartoons
March 20, 2023
Newsclips
Signs Depositors Are Leaving Regional Banks
March 17, 2023
The $300 billion surge in loans by the Fed to banks, increasing its balance sheet so much it reversed half of all quantitative tightening in the last year, is a worrisome signal that deposit flight from regional banks is in full bloom. If not reversed in the coming days/weeks, it will lead to a credit crunch that will impair the economy.
Newsclips
Quick Comments/What We’re Reading
March 17, 2023
Today's topics include behind the scenes of First Republic's lifeline, ain't high finance grand?, zooming out on the US banking industry, the OECD cautions against pausing rate hikes, a closer look at egg-flation, private credit, and triple witching
Newsclips
Cartoons
March 17, 2023
My Bank just closed. The Fed needs to step in ASAP pic.twitter.com/ISfii6P5Xo — High Yield Harry (@HighyieldHarry) March 13, 2023
Charts of the Week
Breaking Down Debt in the U.S.
March 17, 2023
A look at outstanding amounts of Treasuries, corporates, agencies, munis and open market paper