Thomas Hoenig News
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Federal Reserve Bank of Kansas City President Esther George said the economy will probably grow 2 percent this year, spurred by Fed stimulus that threatens to eventually push up long-term inflation expectations.
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Some of the world’s largest banks are announcing spring makeovers. Earnings have improved, expenses are lower and capital ratios are higher. Today, for example, Deutsche Bank AG said its first-quarter earnings rose 19 percent and that it had sold almost 3 billion euros ($4 billion) of new stock.
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So much for the notion that diluting banks' shareholders is necessarily bad for them. Deutsche Bank shares were up as much as 7.9 percent this morning after Germany's largest bank sold 2.96 billion euros of stock.
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The largest U.S. banks, including JPMorgan Chase & Co. and Bank of America Corp., would have to hold capital in excess of Basel III standards under a proposal being drafted by Senate Democrats and Republicans to curb the size of too-big-to-fail banks.
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Federal Reserve Bank of Kansas City President Thomas Hoenig said the existence of companies whose failure would threaten the financial system is an obstacle to economic growth and impedes competition.
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Warning: Banks in the U.S. are bigger than they appear.
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JPMorgan Chase & Co.’s efforts to hide trading losses, outlined in a Senate report yesterday, probably will ignite debate over whether the largest U.S. bank is too big to manage and ratchet up pressure on Chief Executive Officer Jamie Dimon to surrender his role as chairman.
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The Federal Reserve Bank of Kansas City said it has begun a search to replace bank president Thomas Hoenig , the U.S. central bank’s longest-serving policy maker, who is retiring Oct. 1.
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A proposal by the Federal Reserve Bank of Dallas to limit government support for banks could force JPMorgan Chase & Co. and Bank of America Corp. to shrink their U.S. consumer and commercial-lending units by more than half.
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Federal Reserve Bank of Kansas City President Thomas Hoenig said the U.S. economy is strengthening and that dissent by policy makers is essential to the success of the central bank.
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