The Fed

Fed Review of its SVB Oversight

Update 687: Fed Review of its SVB OversightWhat to Look, Hope for in Friday’s Report Much of Washington is standing by for a vote planned later today on Speaker McCarthy’s “Limit, Save, Grow” bill to extend the debt limit for less than a year in exchange for innumerable and devastating fiscal concessions by the Democrats. …

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Regulatory Response to SVB

Update 680 — Regulatory Response to SVB:Feds Saw Problems but Hands Tied by Regs To hear some (the GOP, the WSJ) tell the story, the collapse of Silicon Valley Bank was caused by the Fed’s interest rate policy and regulators asleep at the wheel. But as today’s House Finance Services and yesterday’s Senate Banking Committee …

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Powell: More Hikes to Come

Update 675 — Powell: More Hikes to ComeFed Course Reinforced by Strong Jobs Report The ongoing narrative of a strong and resilient U.S. economy was reaffirmed once again by this morning’s jobs report. During February, the U.S. added 311,000 jobs though unemployment rose from 3.4 to 3.6 percent. Indeed, job gains far exceeded economists’ expectations, …

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A Soft Landing in 2023?

Update 661 — A Soft Landing in 2023?Jobs, CPI, Tracking Fed Plane in the Sky As we enter a new year, the economy appears to be on the mend. Last year, inflation began accelerating and stayed elevated throughout. As yesterday’s CPI report makes clear, prices continue a descent thanks (only in part) to the Fed’s …

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Fed Boosts Rate 50 BPs

Update 656 — Fed Boosts Rate 50 BPsIs Soft—and Swift—Landing in Sight? Today, the Federal Reserve announced a 50 basis point interest rate increase, bringing the borrowing benchmark up to a targeted range of 4.25-4.5 percent. This rate hike, a slowdown after four consecutive 75 point increases, suggests the Fed believes it may have a …

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Big Bank Bash on Hill

Two signal events occurred in the financial policy space this week. The big bank CEO hearings this week in the House Financial Services and Senate Banking Committees are becoming an annual event featuring both chieftains of banking and important consumers of other public policy issues. CEOs of seven major U.S. banks appeared before Congress and …

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