2018-06-14 10:35:00 Thu ET
stock market competition macrofinance stock return s&p 500 financial crisis financial deregulation bank oligarchy systemic risk asset market stabilization asset price fluctuations regulation capital financial stability dodd-frank
The Federal Reserve's current interest rate hike may lead to the next economic recession as credit supply growth ebbs and flows through the business cycle. All of the 35 U.S. large banks such as JPMorgan Chase, Citigroup, Bank of America, and Wells Fargo pass the annual stress test and thus would be able to lend even under the grimmest economic conditions. During the Trump administration, the U.S. Treasury and Federal Reserve may roll back at least some of the Dodd-Frank rules and regulations.
These extreme economic conditions include 10% unemployment, a sharp decline in general house prices, and a severe recession in Europe and elsewhere. Even under these dire conditions, the big banks hold sufficient capital buffers that would exceed the financial-sector equity claims back in the years just before the Global Financial Crisis. The Federal Reserve retains the final veto power to restrict any dividend hikes or share repurchases that the banks may pursue in order to return cash distributions to their shareholders.
It is important for financial intermediaries to substantially increase their core equity capital buffers in order to safeguard against extreme losses that might arise in rare times of financial stress such as the Global Financial Crisis from 2008 to 2009.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2022-04-05 17:39:00 Tuesday ET
Corporate diversification theory and evidence A recent strand of corporate diversification literature spans at least three generations. The first generat
2018-09-23 08:37:00 Sunday ET
Bank of America Merrill Lynch's chief investment strategist Michael Hartnett points out that U.S. corporate debt (not household credit supply or bank ca
2017-10-03 18:39:00 Tuesday ET
President Trump has nominated Jerome Powell to run the Federal Reserve once Fed Chair Janet Yellen's current term expires in February 2018. Trump's
2017-10-09 09:34:00 Monday ET
The current Trump stock market rally has been impressive from November 2016 to October 2017. S&P 500 has risen by 21.1% since the 2016 presidential elec
2019-01-27 12:39:00 Sunday ET
British Prime Minister Theresa May faces her landslide defeat in the parliamentary vote 432-to-202 against her Brexit deal. British Parliament rejects the M
2017-09-25 09:42:00 Monday ET
President Trump has allowed most JFK files to be released to the general public. This batch of documents reveals many details of the assassination of Presid