“The US banking system is sound and resilient,” the Federal Open Market Committee said in a statement. The heart of the stress of the banking system — Silicon Valley Bank, Signature, and First Republic — “have now all been resolved.” Hours after these statements were delivered to the public, two more banks could be on […]
Will PacWest Bancorp become the next bank failure? Stock crashes as much as 36%, shares halted multiple times
Will PacWest Bancorp be the next financial institution to fail? Investors certainly think that this is the next regional entity to crumble. On Tuesday, PacWest tanked as much as 36 percent, and saw its trading halted several times on volatility. The good news is that most of its deposits are not uninsured. But it does […]
NBER: Expect a recession in 2023 or 2024
The National Bureau of Economic Research (NBER) is the organization that essentially confirms if the United States is in a recession. It refrained from doing so last year when the U.S. experienced a technical recession — back-to-back quarters of negative economic growth — because the labor market was so strong. But when the GDP hits […]
First Republic becomes the second-largest bank failure in U.S. history
First Republic has fallen. We repeat. First Republic has fallen! It officially happened. Federal regulators seized First Republic, making it the second-largest U.S. bank failure in the nation’s history. The Federal Deposit Insurance Corporation (FDIC) averted a banking crisis by taking its portfolio ($103.9 billion in deposits and $229.1 billion in assets) and selling it […]
Ouch: US economy weakens in first quarter, continues slowdown trend
The U.S. economy weakened in the first quarter, continuing its slowdown trend. According to the Bureau of Economic Analysis (BEA), the first-quarter GDP growth rate was just 1.1 percent, down from 2.6 percent in the fourth quarter. This also came in below economists’ expectations of two percent. But the real surprise was the acceleration in […]