Banking Archive

Euro banks, Fed’s labor market index, NFIB chart

Getting more obvious it’s ‘spreading’ much like during the sub prime days, as previously discussed? European banks face major cash crunch European banks may have to pare down assets to bolster capital reserves as cheap oil is taking a toll on portfolios of energy-exposed loans. It’s slowing, whatever it is… ;) Labor ...Read More

CPI, Empire State Survey, Philly Fed, Brent Crude Price, Previous Banking Post

CPI, Empire State Survey, Philly Fed, Brent Crude Price, Previous Banking Post Consumer Price Index Empire State Mfg Survey Highlights Minus signs sweep the Empire State report with the headline at minus 11.36 which is more than 1 point below Econoday’s low end estimate. Looking at individual readings, new orders are in ...Read More

Bank capital and lending comment

So the idea is that with higher capital ratios banks are less prone to ‘get in trouble’. So let’s say minimum capital requirements go from 8% to 10%. Most banks try to stay about 1% over the limit to be safely compliant. That means that when requirements were 8%, most banks had ...Read More

Phily Fed State Index, Bank Lending

Looks like once 10 states go bad the rest follow? Bank loan growth is not accelerating: ...Read More

Fed Testimony

Semiannual Monetary Policy Report to the Congress By Janet Yellen Looking forward, prospects are favorable for further improvement in the U.S. labor market and the economy more broadly. Low oil prices Still seems to leave out the fact that a dollar saved by the buyer of oil is a dollar lost by ...Read More

Fed labor market index, ISM non manufacturing index, Bank lending, Greece

Prior month revised lower and this month lower so Fed that much less likely to raise rates: Labor Market Conditions Index Highlights Growth in the nation’s labor market remains subdued with the labor market conditions index at plus 0.8 in June vs a revised plus 0.9 in May. The reading is barely ...Read More

Greek bank liquidity, credit check

So people transferred their deposits to other banks, and those other banks wouldn’t redeposit/lend those euro back to the Greek banks via the interbank market, at any rate of interest. So instead the lost deposits were replaced by what functionally are deposits from the ECB via what’s called the ELA. What’s wrong ...Read More

Wells capping sub prime autos, bank margins and income, personal income and spending, ISM manufacturing, construction spending

Wells pulling back some on sub prime auto loans: Wells Fargo Puts a Ceiling on Subprime Auto Loans And banks in general fighting this: A bit worse than expected. Fewer dollars spent, but more ‘real things’ purchased due to lower prices, but any calculation of a deflator with the large drop in ...Read More

Greek bank liquidity, Fed minutes, Architecture Billings Index

As previously discussed, and relayed to the finance minister in Greece, there is no reason to assume the ECB will cut off liquidity to Greek banks. First, those banks are private institutions, and regulated and supervised by the ECB, who has deemed them ‘solvent’ and ‘adequately capitalized’ and therefore eligible for liquidity ...Read More

bank lending down big

Banks getting hurt as feared. Bank Revenues Plummet 17% In October And November According To Citi ...Read More