alert

JP Morgan Chase FINRA Discipline Alert! From January 2019 to July 2022, the firm’s financial risk management controls and supervisory procedures were not reasonably designed to prevent certain erroneous orders that exceeded appropriate price or size parameters. Punishment? A $750k fine & censure.

by Dismal-Jellyfish https://www.finra.org/sites/default/files/fda_documents/2018058111301%20J.P.%20Morgan%20Securities%2C%20LLC%20CRD%2079%20AWC%20gg.pdf The firm’s market access controls failed to prevent five erroneous orders routed to exchanges and alternative trading systems: On January 30, 2019, a firm trader on the Program Trading Agency Desk routed to the market an order …

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Inflation Alert! St. Louis Fed’s James Bullard backs two more hikes. Bullard would have central bank push interest rates up to 5.5%-5.75% range

by Dismal-Jellyfish Sources: https://www.marketwatch.com/story/feds-bullard-backs-two-more-hikes-359fb941: St. Louis Fed President James Bullard on Monday said he would like to see two more quarter-percentage-point interest-rate hikes this year. “I think we’re going to have to grind higher with the policy rate in order …

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Federal Deposit Insurance Corporation (FDIC) Alert! FDIC is seeking PUBLIC comment on the proposed rule that would impose special assessments to recover the loss to the Deposit Insurance Fund arising from the protection of uninsured depositors in connection with SVB & Signature Bank–$15.8 billion.

by Dismal-Jellyfish Source: https://public-inspection.federalregister.gov/2023-10447.pdf The FDIC is seeking comment on a proposed rule that would impose special assessments to recover the loss to the Deposit Insurance Fund (DIF or Fund) arising from the protection of uninsured depositors in connection with …

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Inflation Alert! April 2023 Rental Report: The median asking rent was $1,734, up by $4 from last month and down by $43 from the peak but still $348 (25.1%) higher than the same time in 2019 (pre-pandemic).

by Dismal-Jellyfish Source: https://www.realtor.com/research/april-2023-rent/ In April 2023, the U.S. rental market experienced single-digit growth for the ninth month in a row after fifteen months of slowing from a high of 16.4% growth in January 2022. Median rent across the top …

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Inflation Alert! Fed Governor Philip N. Jefferson: “if you are willing to widen your lens to include a more commonplace definition, then it is possible to conclude that current monetary policy is, in fact, “on track.”” “The bad news is that there has been little progress on core inflation.”

by Dismal-Jellyfish https://www.federalreserve.gov/newsevents/speech/jefferson20230512a.htm On the Assessment of Current Monetary Policy Governor Philip N. Jefferson At the “How to Get Back on Track: A Policy Conference,” Hoover Institution, Stanford, California Highlights: “Current inflation is still high.” “Personal consumption expenditures (PCE) inflation, …

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ALERT: Gunfire Has Broken Out At The US/Mexico Border

🚨 BREAKING: Heavy gunfire reported on the U.S. Mexico border at the Pharr-Reynosa International Bridge. This is developing story and few details are available as of now. pic.twitter.com/xoVKBBP0rw — Nick Sortor (@nicksortor) May 10, 2023 https://twitter.com/_/status/1654178792321982464 https://twitter.com/_/status/1654478725298421760 https://twitter.com/_/status/1656397532979658753 https://twitter.com/sotiridi/status/1656398085646348290?ref_src=twsrc%5Etfw h/t …

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ALERT: US Government May Freeze American Bank Withdrawals As Currency Panic and Capital Flight Mounts – Hedge Fund Manager Hugh Hendry

ALERT: US Government May Freeze American Bank Withdrawals As Currency Panic and Capital Flight Mounts – Hedge Fund Manager Hugh Hendry This will be catastrophic. pic.twitter.com/IPjWj4SzX6 — Stew Peters (@realstewpeters) May 8, 2023 HUGH HENDRY THINKS US GOVT WILL FREEZE …

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Inflation Alert! Fed releases Inflation Expectations Fall at Short-Term Horizon but Rise Slightly at Longer Horizons. One-year (4.4%), 3year (2.9%), and 5-year (2.6%) inflation expectations all higher than the Fed’s target of 2%. Inflation appears to be becoming anchored in consumers expectations.

by Dismal-Jellyfish Source: https://www.newyorkfed.org/microeconomics/sce#/hhincexp-1 The main findings from the April 2023 Survey are: Inflation Median inflation expectations declined by 0.3 percentage point at the one-year-ahead horizon to 4.4%, but increased by 0.1 percentage point at the three- and five-year-ahead horizons to …

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Air alert back up in Ukraine and Kiev

🚨🇺🇦 Air raid alert over Central/Eastern Ukraine. Suspilne reports explosion heard in Odesa, threat of attacks on Kyiv, again. pic.twitter.com/vffCqfDBT7 — Emmanuelle Chaze (@EmmanuelleChaze) May 7, 2023 https://twitter.com/_/status/1655318280540651521 h/t JustmeTX

Whistleblower Alert! SEC Issues Largest-Ever Whistleblower Award nearly $279 million, to a whistleblower whose information and assistance led to the successful enforcement of SEC and related actions.

by Dismal-Jellyfish https://www.sec.gov/news/press-release/2023-89 The Securities and Exchange Commission today announced the largest-ever award, nearly $279 million, to a whistleblower whose information and assistance led to the successful enforcement of SEC and related actions. This is the highest award in the …

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FDIC Alert! JPMorgan Chase Bank, National Association, Columbus, Ohio Assumes All the Deposits of First Republic Bank, San Francisco, California. FDIC entering loss-share transaction agreement to share the losses with JP Morgan.

by Dismal-Jellyfish Source: https://www.fdic.gov/news/press-releases/2023/pr23034.html First Republic Bank, San Francisco, California, was closed today by the California Department of Financial Protection and Innovation, which appointed the Federal Deposit Insurance Corporation (FDIC) as receiver.  To protect depositors, the FDIC is entering into a …

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Federal Reserve Alert! Today, a CLOSED meeting of the Board of Governors of the Federal Reserve System was held under expedited procedures as it was determined that the public interest did not require opening the meeting. Matter Considered: advance and discount rates to be charged by the Fed banks.

by Dismal-Jellyfish Quarterly Trends for Consolidated U.S. Banking Organizations 4th quarter 2022: Held-to-Maturity assets ~10% of assets. Remember, unrealized losses on available–for–sale and held-to-maturity securities totaled $620 billion in the 4th quarter: Recipe for systemic stress for the broader banking …

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Federal Reserve Alert! Governor Michelle W. Bowman speaking on the potential politicization of CBDC policy objectives: “potential to allow the government to limit certain types of private spending or limit access to banking accounts, it could also threaten the Federal Reserve’s independence.”

by Dismal-Jellyfish Governor Michelle W. Bowman at the Georgetown University McDonough School of Business Psaros Center for Financial Markets and Policy, Washington, DC Source: https://www.federalreserve.gov/newsevents/speech/bowman20230418a.htm Highlights: While the Federal Reserve plays an important role in these ongoing discussions and technical …

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Inflation Alert! March SCE Labor Market Survey: The average full-time offer wage received in the past four months increased to $62,088 from $59,834 in November 2022. The average reservation wage—the lowest wage respondents would be willing to accept for a new job—rose to a new series high of $75,811

by Dismal-Jellyfish Source: https://www.newyorkfed.org/microeconomics/sce/labor#/ The Federal Reserve Bank of New York’s Center for Microeconomic Data today released the March 2023 SCE Labor Market Survey. The SCE Labor Market Survey, fielded as part of the Survey of Consumer Expectations (SCE) since March 2014, provides information on …

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Federal Reserve Alert! “In the interest of further strengthening transparency and accountability, the 12 Reserve Banks have agreed to adopt a common policy for public requests for information and expect to implement this policy by the end of this year.”

by Dismal-Jellyfish Source: https://www.newyorkfed.org/newsevents/statements/2023/0324-2023 The Federal Reserve Banks are committed to transparency and accountability and each Reserve Bank has existing procedures for providing information to the public. In the interest of further strengthening transparency and accountability, the 12 Reserve Banks …

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FDIC Alert! $114 billion in face value Agency Mortgage Backed Securities, Collateralized Mortgage Obligations, and Commercial Mortgage Backed Securities about to be liquidated ‘gradual and orderly’ with the ‘aim to minimize the potential for any adverse impact on market functioning’ by BlackRock.

by Dismal-Jellyfish Source: https://www.fdic.gov/news/press-releases/2023/pr23029.html The Federal Deposit Insurance Corporation (FDIC) as receiver of the former Signature Bank, New York, NY, and Silicon Valley Bank, Santa Clara, CA, will undertake a marketing process to sell the securities portfolios retained from the two receiverships. …

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Federal Reserve Alert! Governor Lisa Cook: “Your generation has seen two once-in-a-century economic events within two decades. Your economic experiences are different from anyone else’s. That insight and understanding will be critical to policymakers. The economics profession needs your perspective”

by Dismal-Jellyfish Governor Lisa D. Cook At “Exploring Careers in Economics,” a conference sponsored by the Board of Governors of the Federal Reserve System, Washington, D.C. Source: https://www.federalreserve.gov/newsevents/speech/cook20230404a.htm Good afternoon, and welcome to “Exploring Careers in Economics.” I am disappointed I …

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Inflation Alert! The Fed’s Preferred inflation metric dropped a little. However, PCE Price Index for services rose 5.7%. Remember, Nearly 2/3 of consumer spending goes into services! While Corporate Media will trumpet the decline in goods prices, inflation is RAGING and showing no signs of slowing.

by Dismal-Jellyfish Before we get into the number, Governor Philip N. Jefferson’s recent speech does a pretty good job level setting PCE price index for those wondering what it is: Different Ways to Measure InflationThe two primary measures of the price level in the …

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SEC Alert! Commissioner Caroline A. Crenshaw: “the dominance of a handful of large market-makers internalizing orders, and conflicts of interest between market intermediaries and their customers – are even more pronounced in the options markets.” Options markets account for 65% of PFOF payments.

by Dismal-Jellyfish Fixed Income and Options: The Other Market Structures Remarks at the Fixed Income Forum Spring Roundtable: https://www.sec.gov/news/speech/crenshaw-remarks-fixed-income-forum-spring-roundtable-033023 This speech is long but worth the read. I am going to attempt to chop up the two main topics–Fixed Income Markets …

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