bank. and then those same vcs turned around and sparked the bank run by telling companies to pull their money out creating more chaos, more panic. signature bank found themselves in the middle of a sand bank with a climb summary at the crypto exchange ftx. at the banquet them open multiple banks, they ignored red flag after red flag. it's all just a variation of the same theme. the same root cause of most of our economic problems, wealthy elites do anything to make a quick profit and pocket the rewards. when they are risky behavior leads to catastrophic failures, they turn to the government. they turn to the government asking for help expecting workers and taxpayers to pay the price. too often workers do. even though no taxpayers money is being used to say the deposits and i understand why americans are angry even disgusted at how quickly the government mobilize with a bunch of elites in california are demanding. and people have a pretty good sense of whose problems get taken more seriously

bank. this speed and intensity of the run as we talked about the positives are by panic and social media platforms armed with online banking tools capable of rapidly moving large sums of money it withdrew nearly $42 billion in deposits within 24 hours on the ninth of march but second undersecretary at lane, you think social media online banking tools at the potential to increase intensity future runs? and if so would he think the appropriate response from treasure congress and regulate it should be? >> congressman i do agree the bonds that occurred at silicon valley were unprecedented speed and size aided by social media, technology. those are new risks that challenge the banking system and the financial system on will definitely need to be considering. and working with congress on those issues. >> so you are working on that? >> yes for working on how to think about the payment system and digital assets this is now been a parent's pic looks like to work with you on that if that's okay will

so, your bank is in good shape. your bank is the fourth biggest bank in the u.s. jp morgan, bank of american, wells fargo and then citi. there is a bank in the west coast called silicon valley bank that was not as well-capitalized. did the regulators not understand what was going on? were people in the banking world, people like you, were you surprised? jane: you had a combination of two pieces, the macro and idiosyncratic factors around silicon valley bank and the impact accelerated by social media of what went down. the increasing rates have been the fastest and steepest in 40 years. so there is a bit of pain that comes from that. secondly, you did have idiosyncratic factors. i think that is the polite british way of describing them, in silicon valley bank. [laughter] so, as all of this played out, you saw serious holes in the balance sheet management. they had a very concentrated client base. that client base ended up burning cash much faster than anticipated. and they ended up under duress capital and it went down pretty quick. david: in the great recession in

in banks. if you shake that -- deposits move into a narrower group at the top, bigger banks, money market funds. who is going to lend to a small business? this is a giant problem for europe and it has been for 10 years. there is not dynamism at the small business level. >> do you think -- this is something that is being heatedly debated, hotly debated in the market, that the silicon valley bank and a couple other smaller banks in the u.s., regional banks do have a systemic effect that will essentially restrict lending, not just to small businesses in the u.s., but exacerbate what you are seeing in the developing world? >> i want to parse the word systemic so that -- is it a systemic risk for the system? maybe the regulators have been able to address that. are there follow-on effects? i think clearly, yes. so each person with deposits in banks examines that, checks the safety and there is a migration toward the bigger banks. i would argue that the u.s. -- but it's also true in all advanced econo

the big banks, they can stomach that but the smaller banks are under pressure.here are a few things i want to reiterate, a capital regime that will brought into a i want to reiterate, a capital regime that will brought into a broader range of banks and risk will be assessed differently. revisit the approach to stress testing. the approach to stress testing. what is the outcome of this? there is a lot of the approach s testing. what is the outcome of this? there is a lot of the banking system under pressure, does it mean more of them will try to merge? does it mean that the small banks will try to merge as they try to stomach some of these banks will try to merge as they try to stomach some of these changes that are alsobanks willy try to stomach some of these changes that are also trying to make them work through this tough macro environment. guy: one of the reason that regulation was is loose because it would force consolidation. do we get that consolidation? herman: if we do get consolidation, the regulators if we do get consolidation, the regulators need to b

all of those things were moved or weekend for banks in a size class with a two banks failed.the benefit of hindsight it is a lesson, but with the benefit of a post of the cost and the cost is now apparent. we did see failures that led to ripples throughout the system. poppy: we talk about the cost do you believe if the bill had not passed and dodd frank remain the same for all of the banks that they would not have failed? lots of people including jamie dimon and other say no. lael: the president worked with the bank regulators and the department of treasury and put out a list of reforms. they do not actually require changing the law. but call on regulators to put back in place the strong safeguards. do i think the quiddity stress test would have -- liquidity stress test would have a supervisors that uninsured deposits were a huge percentage of deposit, which is really unusual in silicon valley, i do. poppy: they had not undergone -- lael: did not have liquidity requirements, they had not had a single one. do i think a capital stress test for interest rate increases could've m

valley bank did not. when they tried to address their problems by selling securities at a loss and raising capital to fill a hole, its depositors lost confidence and stampeded for the exits. less than 24 hours later, the bank was no longer the property of its shareholders and was in the hands of the fdic's. mismanagement of interest rate risk is at the core of svb's problem. silver lake bank experience the same issue. both banks invested or than half of their assets elongated fixed-rate, u.s. treasuries and securities. of these investments, 79% of svb securities and 70% of silver gaetz had maturity of 10 years or more. as rates rose, the value of the bonds declined, ultimately, at least in the case of svb, wiping out tangible equity of the bank. bank regulators have addressed interest-rate risk with interagency guidance on risk issued in 2010 and followed up faqs in 2012, made clear that regulators expect all banks to be prepared for large interest-rate increases following a time of zero rates. one discus

we have a banking crisis right now, mostly regional banks. there's at least a lull in that crisis or is it over. where are we right now? >> you framed it quite well. the large u.s. banking system is as strong as ever, and i think they have a great global run in front of them. they are just very well positioned and in terms of the small regional banks, there are many issues that could really make it more difficult for them. there is somewhat of a loss of confidence and this is why we saw in a few weeks, hundreds of billions of dollars of deposits. charlie: interesting. >> to the larger banks and to money-market funds and bond etf. we were a big source of where that money ultimately went to, but what we were seeing is the balance between the capital markets and the banking system. the united states has the strongest, most robust pockets in terms of capital markets and banking systems in the world and there are times when the banking system is not as strong and money moves into the capital markets. charlie: and that's where kind of we are now bu

there are 4700 banks the majority of which are small community size banks.e represent the entire sector of the entire industry. people are going to be very familiar with seleka and valley bank as well as signature bank. what happened? guest: the first bank failure in roughly three years ago, we take this very, very seriously. what is important to point out is that the overall sector, with regard to your question about what happened. monitoring and investigating to see exactly what happened. first it was a failing of the management team diminished interest rate risk. there was also a concentration risk. they were just heavily focused on the community. they had a large amount of unrealized losses in a huge amount of unsafe -- uninsured deposits. so there is a whole set of management, risk management failures. their unique and particular to this bank. there were supervisory failures as well. and third, this is new, the first time in the history of our public, social media is a contributor, not the foundational cause, but social media for the first time is a par

are talking about a few banks. we had a from chairman powell today. this is not something that has spread across the entire banking system. this was not like it was last time. this is not a credit crisis. this is a situation where it is a few banks that have problems. jane: not to -- david: not to pick on the west coast but there is another west coast bank based in san francisco. they have had gigantic decline in their market value. do you expect that someone will fail them out or buy them? david:-- jane: i will not comment in-depth on first republic because they are working through the challenges they are facing right now. what you saw last week was a number of the large banks got together to put a large capital deposit injection to help by the time so they can come up with the right solution. david: they put in roughly $30 billion in deposits. jane: yeah. david: you put in roughly 5 billion or something like that? jane: yeah. david: so, how did that happen? did jamie dimon call you up and say do you have $5 billi

big banks. bank of america will be interesting from the show lending and mortgage related assets. if we get the team these, the bleed over could be important. -- the tea leaves, the bleed over could be important. people are talking about cannibalizing for markets. goldman sachs and apple teaming up. tom: when does washington say tim cook, you are not a bank? they are doing it through contacts. jonathan: it is lisa's point, you can get more through apple backed by goldman then you can through goldman via the markets. lisa: the incentive to open an account. i don't know how this is going to read through. maybe goldman sachs will talk about it. tom: i am doing what i was doing 15 years ago, the libor of a tick. jonathan: you have to compete with that. i don't think jp morgan and bank of america are some of those names regardless of what they are offering. lisa: can they offer a haircut when it comes to their tickets and -- their certificates of deposit? people would rather pay a premium to get the

i knocked on the door of the local regional bank. great bank. my bank today. i said, can you give me a loan? they said, we cannot. here i was, a young guy. i had no assets. the local bank, the president's daughter was -- on my daughter's soccer team. he said, i will give you a loan. all you have to do is promise to pay me back and secured by your home and i get personal guarantees. i got that loan and it worked out very well. that is where the small banks come in. they are really important to small business, which is key to innovation and productivity growth. it is important we have a lot of small banks. we do not want to overburden them if we do not need to. in this case, i do not think we need to. host: with that economy.com you were talking about? guest: that is right. i started coming back in 1990. it was called regional management associates. no internet, at least none that i knew about. we changed it to economy.com in 2000 in the middle of the technology boom. host: moody's analytics is where mark zandi is the chief economist. he is here for the next 20

throughout the banking system. there was the concern that there could be a cash effect on other banks that could fail. a big of that size, even if it was just 100 or $200, could really -- 100 billion or $200 billion, it could threaten the financial system. the chairman will look at how we will the cost -- how we build the cost of this to the financial industry has mentioned that we will look at targeting the cost and the assessed of those costs -- the assessment of those costs on the financial and to shins that benefited him it. and -- financial institutions that benefited from it. it was certainly a difficult provision, but it was one that could -- put into focus the places where our regulatory system had made some fundamental errors of judgment, like thinking that $100 billion bank could not cause real harm to the economy if it failed. >> what decision was unprecedented? how can we think about this in a way, are all deposits effectively insured at this point? we never -- would we ever not take this action if you

risk to the bank. while most of the bank's depositors were small and midsize businesses. also had large customers too. with the top 10 accounts holding more than $13 billion in combined deposits. air and vice chairman barr, i considered the deposit's decision run or state were not necessarily made on their own. but by the strong encouragement of their venture-capital backers who sit on the boards and hold equity in their companies. a handful of large venture-capital depositors able to influence the withdrawal of $42 billion all at once through their control or their portfolio companies? >> congresswoman, i think that his son who will need to look at in terms of the pose affiliate review of these institutions. i cannot tell you today with certainty what occurred there. i know both said in regard to sbb and in regard to signature are going to do a careful, careful review of the events. >> thank you very much and i agree with you. we really need to know the role that venture-capital plane in this bank. go

and swiss bank divisions.he unprecedented radical restructuring of the investment bank with the clear plan was another key element of this strategy furthermore, we had a brand new executive board which was working relentlessly on implementing this new strategy we were executing at pace and were making good progress. we had already started to significantly de-risk the bank with the restructuring of the investment bank and we were on track to achieve all of our 2023 targets. as he previously mentioned, we were focusing on all measures on changing course and addressing the problems of the past to put credit suisse on a solid footing and to position it as a strong global swiss bank. we worked hard to achieve this right until the very last minute unfortunately, it was not enough in the end the bank had been significantly weakened by the strong outflows of assets in october of 2022 as a result of unfounded rumors and speculation. at the same time, for legal reasons, our hands were tied for almost four weeks until th

surge from the smaller banks to the bigger banks we feel this is going to be good for large banks and the industry will go through a period of cleansing which is favorable for the big banks. >> we are getting data from bank of america bank of america saying $363 billion went into money market funds. third highest month of inflows since 1993 what does that signal to you about investor confidence? >> so, investor confidence, the government bonds and money markets are giving high yield right now. certainly there's a good alternative in place at the same time, you know, we feel that if you take a slightly longer term picture, we see more opportunities in the stock market for exkexample, in big tech, wee opportunities there. a lot of larger technology companies have gone through a period where they laid off workers and businesses are much leaner eventually, when the market economy does recover, they are in a position to be able to be more profitable. fixed income is giving good yield right now. we see good opportunities in big tech. >> i want to correct myself. that was morning star with t

that $30 billion deposit flight from the large banks and some midsized banks, and investment banks really the question after that. even though the existing deposit base, what happens after 120 days? it essentially came with an expiration date. do they take the money out? what happens from there? when the options long discusses gain this consortium of banks-- here is a reality from the sources across the street at the end of the day how do they make it financially viable for shareholders? for themselves at the end of the day? if the government had not stepped in, the government plays such a crucial role here, the banking system save your would not be possible. the political will to get a deal done for first republic, remember the client base leans towards wealthier individuals. very low interest loans where printable payments are delayed. there is such little political will for the government to cater to a deal for many banks to be in row than one to be in. it would still require government intervention and the plug will as you have seen in -- political will as you can see to this point ha

in bank kargoshai bank kargoshai, you know the bank he can take a loan, he can leave his earrings, he can leave his phone and use it as a mosque, and get a loan, the national bank has different branches , it uses the gold of people's ornaments for consumption and gives them facilities. people, and as one of the savings, you think that all these conditions need to be reviewed, only the optimal management of gold is used as a store of value for thousands of years, all over the world, gold has been the support of the country's money. so gold as a reserve the value of the irrefutable role is to deny that it is hoarded and hoarded and has no value for the economy . i used most of the people's words for the health of the people. in my banking system, we must try to ensure that the bank notes of the fund come to the bank accounts of the bank's safe deposit boxes. people have bills, gentlemen, let them put them in their bank accounts. i will try to get them myself. hopefully, with the action that we are starting now , we will put these bills in people's coin and gold deposit accounts and use

banking crisis. u.s. futures rebound after beats at microsoft and alphabet reassure investors this year's tech rally has room to run. the company's give their visions for ai. plus, standard chartered reports its largest quarterly profit in nine years. that is as rising interest rate boots its bottom line. we will hear from the cfo this hour. let's check in with futures pointing lower across the european session down .5%. a divergent picture between the future in euro and u.s.. aztec the safe haven now as the banking crisis rears its head again and the u.s.? the asset save -- sales have been well by first republic. will anyone provide that relief? a major question as we look at the banking space with increased scrutiny in the u.s. again. the ftse 100 off by a couple of points. we will give it a few seconds to reflect what is happening across these markets. a sharp move lower in yields particularly at the front end. we will touch on the two-year. 50 basis points lower on the front end on the risk off moves

data from regional banks and more investment banking heavy banks and that could bring a slightly mixed picture. manus: jamie dimon doesn't see a credit crunch coming but there are still some clients on the horizon. let's take a look at some of the things markets will be focused on this week. 9:00 a.m. u.k. time you get the final reading of italian cpi. tomorrow there are a number of other u.s. bank earnings, goldman sachs, bank of america and regional lenders. we also get a host of china data , the gdp numbers on the back of the mlf will be pretty important. tom: a big data drop. it will be a focus for many of us tomorrow. on wednesday, an update on u.k. inflation. the implications for the boe and the fed rate book is released as well be -- said beige book will be released as well. on thursday, ecb minutes and u.s. jobless claims, some more clarity to just what extent there is some weakness starting to appear around the edges of the u.s. jobs market or is there still solid resilience? on friday, we have pmi's from the u.s., u.k. and across europe. manus: coming up, more market reaction

bank.e very good, what drives it? for us, it has been the workings of many quarters of building this. there are two parts i would like to highlight. the first is the investments we have made in our business, whether it is our credit card portfolios in the u.s., where we acquired a portfolio of 10 million customers. and our markets business, not just in technology and fixed income, and trading systems, but also financing in fixed income and equities which continues to help us in this environment. francine: if you look at fic trading, do you expect this momentum to continue in the second quarter? >> we hope to keep the market share we have gained with our clients over a number of years. we have broadened and deepened relationships. the dollar amount of revenues goes up and down in volatility with the markets. that is harder to predict. but we are trying to have that capability. francine: is this a diversification, when you look at your main drivers going forward? >> we hope we have a lot of d

bank. the federal reserve holding interest rates too low for too long and the steps taken by banking regulators. i am concerned about the precedent of guaranteeing all deposit and market expectation moving forward. moral hazards like inflation is not easily contained and does long-lasting damage. inflation played a key role in the recent bank failures as rising interest rates and mismanaged risk led to a liquidity crisis. there is no issue more critical than the unacceptably high inflation that american families continue to face every day. americans have now experienced 16 months of inflation at or above 6%. the cost of rent, groceries and services continue to rise. we just cannot keep up. last year the administration committed to working in a bipartisan fashion to address the serious problem noting the budget must complement monetary policy. instead, what we have seen is a reckless tax-and-spend agenda that was forced through congress rolling out trillions of dollars in debt finance spendi

within that, we do see a concentration among smaller community banks and shall banks -- regional banksment for commercial real estate. since the bank issues you just described, we have seen a bit more caution enter the market. that's on the back of nine months of significant tightening that had impacted markets up until that point. we have continued to see banks selectively lending. look at fed data and since the turmoil two weeks ago, we have seen an additional $10 billion across commercial real still -- real estate portfolios increase since that time. the reality is yes banks are going to be more cautious, but they are out there and they are still lending. they just being more selective and requiring solid underwriting when they do so. jon: do you think it could end up being original story? story out today, a survey of 71 districts in -- 71 banks in the dallas fed district showing a reversal in loan volume. guest: i haven't seen that survey specifically, but we looked at low growth rates relative to a month ago and look at the last two weeks and compared those growth rates among acqu

bank. the federal reserve holding interest rates too low for too long and the steps taken by banking regulators. i am concerned about the precedent of guaranteeing all deposit and market expectation moving forward. moral hazards like inflation is not easily contained and does long-lasting damage. inflation played a key role in the recent bank failures as rising interest rates and mismanaged risk led to a liquidity crisis. there is no issue more critical than the unacceptably high inflation that american families continue to face every day. americans have now experienced 16 months of inflation at or above 6%. the cost of rent, groceries and services continue to rise. we just cannot keep up. last year the administration committed to working in a bipartisan fashion to address the serious problem noting the budget must complement monetary policy. instead, what we have seen is a reckless tax-and-spend agenda that was forced through congress rolling out trillions of dollars in debt finance spendi

china's a big four banks, namely bank of china, icbc, agriculture bank of china, and the china construction bank, they are deemed systemically, globally important banks across the world. so, they have to meet all kinds of rules in terms of capital adequacy. so, back in 2015, the financial stability board which is set up by a group of 20 nations, have issued a rule called a total loss absorbing capacity bond rules. the rules are mainly designed to help banks avoid a repeat dynamic that happened after the global financial crisis in 2008. since then, chinese state banks, the big four banks, are racing to issue show call -- so-called additional tier one and additional tier two bonds to strengthen their capital base. they are still facing a big shortfall. according to some estimates, including one by s&p, they are facing a big funding shortage of $3.8 trillion. what we are hearing today is the big four banks are trying to tap the domestic capital market by issuing a new kind of tlac bonds. the amount would be 40 billion yuan including 10 million yuan each. they will probably do it by the 10 -- e

, banking problems.onsumption is likely to fall from here on end as the economy goes into a mild recession a lot for the bank to think about. >> you speak about that. sterling is stronger a little bit today as well. it's about a quarter of a percent as well. today you have growth, yes, slightly better, but milder recession. but overall the bank of england now seemingly the estimates are you may actually definitely get a hike of around 25 basis points would they have preferred to keep things as they are right now, that 4.25%? >> i think they probably would, but at the end of the day, it's a bit of a double-edged sword for them i think they won't see inflation down clearly, but i think they themselves expect it to come down quite sharply, and i don't think anything we're seeing will change that view at the same time they realize in order to get the inflation down, they need to reduce the demand and see a slack in the employment market. but equally they don't want the market to go into too tough of a deploy

these mega banks and the smaller banks which live, but typically on other mega banks are constructed ah, on unsound foundations and no amount of tightening regulations. we saw the dodd frank act after 20082009 can actually stabilize them. now, once upon a time, 10 years ago, 5 years ago, even we didn't have an alternative, but to try to stabilize the banking system. today however, we have new digital technologies which allow a decoupling of payment systems from our credit intermediation. what do we mean by that? up until this very moment, if you want to pay for a coffee at you near the starbucks or whichever outlet you like using a plastic card or debit card. you need to have an account in which you put your savings in or your payroll, your pay packet into a private bank. well, that is no longer the case. we can have a digital wallet that is provided by our central bank, which in any case is monitoring all our payments. and the is called upon to save the private banks when they did that and fall like in switzerland, with a c suite national bank with central bank saving, credit suisse

, bank of america, barclays bank of scope and so on. they discovered jaden gun. think amounts of fraud. remember the but at the body lending or the somebody mortgage is that where given to people who could never repay them and that was done knowingly. that's what i mean by predatory lending. the reason but is that where falsely labeled as to replay, aided by credit aid in a, there was a lot of fraud and a lot of quiz i creamy, got criminal behavior. also very galatian mechanism was very weakened by the clinton administration. today. when we look up the account books all fun, you know, the silicon valley bank or even current space, we find much higher capitalization next to no fraud, some silly decisions regarding the risk taking, but nothing exemplifying the shenanigans that were the cause of the house of cards falling one after the other in 2007, 2008. that should make us worth it. because the rules were more or less respected by the bank for the fate failing today. look at biter bank. the bank is far better behaved today than it was i

banks and you know, we have large banks, medium banks we have lots of different sources. of cash to put in various banks. >> before we started the segment, we mentioned you have a big docuseries coming out on pbs. >> i have an eight-part series on iconic america. it's about eight iconic american symbols and it's designed to educate people about our history a bit. fenway park, the oldest ballpark in the major leagues, the golden gate bridge, the american cowboy, the american bald eagle, stone mountain, things like that it's an hour each one of these it's statendesigned to educate e about the the history of the symbols of our country and hopefully get people to read more about these things and learn more about american history. >> this is part of a long-term thing you've been doing in terms of donating a lot of money to some of the monuments and other things afternoon round the coun? >> i try to educate people about american history you have an informed citizenry, sometimes or citizenry is not as informed as it should be >> tread lightly on some of those i would say. it's n

- silicon valley bank? that's riaht, silicon valley bank? that's right. and _ silicon valley bank?it's important i silicon valley bank? that's right, and it's important toj right, and it's important to make the distinction between these big banks and the regional banks, the big banks we have seen those do quite well, we saw that with jp morgan on friday, citibank, wells fargo, they have done quite well, what we saw with bank of america, they had record inflows, $37 billion, then you have the regional banks which is where those concerns really have been as we saw with the collapse of silicon valley bank and signature bank, with those regional banks we have seen results so far haven't been disastrous, they haven't been the picture of health but they haven't been as bad as expected. as you said with interest rates going up for bigger banks that does help the net interest margin and net interest income which is make on the difference between loans and the money they have on deposit. forthe and the money they have on deposit. for the time being it does seem to be quite a positive i woul

banks.ells fargo, jp morgan, we have been waiting. we have seen the data. payrolls and cpi. now, it is about the consequences of the banking shock of the last month. tom: i think bankers will be watching imf meetings and debris that comes out of these meetings. this is on the jamie dimon's talk about before, macro credential, the summation of risks. john lipsky identified with this years ago, summing up the risks and what does it mean for your global banking business. these are the kind of banks we are going to hear from in the next 48 hours. jonathan: was it truly the port of the storm after the end of q1 we saw weeks ago? lisa: there are two groups of watching this. economists saying, how big is the banking crisis, and the investors saying, can we start buying it? we have those two poles with jp morgan probably not giving the answer because they are the big bank the port and the storm and not out -- susceptible to the outflow and asset classes as some of the smaller regional banks. tom: ma

bank earnings on friday. still ahead, the bank of korea's says it's war on inflation is not over yet. catch are exclusive interview with the central bank governor hour. first up, one ceo shares her investment strategy as she expects a problem credit crunch. this is bloomberg. ♪ -- prolonged credit crunch. this is bloomberg. ♪ >> we still have tight labor markets, consumption spending is still holding up, but that being said, the balance of risks is squarely to the downside. shery: after a dramatic drop in march, our next guest says u.s. producer prices are near expectations and trending in the right direction. she joins us now from dallas. how helpful is this to the markets? >> yeah, good ppi numbers are positive for the markets and we sought the markets respond positively, especially in the growth area. when we look at what has been, you know, what has been keeping these ppi numbers more persistent, we are seeing that ease now, and that is good news for the markets. >> what were you able to gauge from the fo

banks.onathan: lisa, calling this one a significant win for the bank. lisa: the stabilization, the growth over the past week or so highlighting how perhaps the worst is over. now is the question of ok, is the crisis over? and if we move not, this goes back to the question you've been asking for the past couple of weeks, when we go back to pre-march 8 conditions? we are almost there, but not in the bond market. tom: to me it is about a fed that gets permission to come up 25 peeps. jonathan: then what? you get the high complied by the dot plot then what? they were asking whether the banking stress of the last month was a substitute for rate hikes. they concluded to some extent it was going to be, we just didn't know to what extent. tom, i think there are two ways of looking at this. one, the stress is stabilizing, maybe even the coast is clear. that is the super optimistic way. the other way, this is the beginning of a process. it will ultimately lead to tightening financial conditions and rem

one it's a bank, which makes a crime inside a bank or even entering a bank.ith the intent to commit a felony, a federal crime, but they're there primarily to see whatever louisville pd needs victim witness assistance. forensics um anything like that. you've got a t f on the scene. they're going to be looking at the gunman's weapon doing those traces to figure out where it was purchased. and when and what other guns there might be. that they might need to roll back on a location house to a search warrant and so on. so lots of moving parts right now, let me bring people up to speed. if they're just tuning in right now, the breaking news is that there has been a shooting in downtown louisville. john miller , who is with me right now is reporting. it happened inside a bank you see up on your screen six victims, including a police officer. we do not know the condition of those victims. that's right if they're wounded, or worse. we just don't know at this point. so when we say victims, we do not know the conditions. john you mentioned a bank that's happened inside

on to the banks. ubs has reportedly getting set to cut 30% of the head count after taking over credit suisse. the move would affect more than 35,000 employees. let's get to tom metcalf who oversees our bank coverage in the u.k.. what does it mean for this was banking market? tom: these are big cuts. swiss media said 11,000 jobs in switzerland alone. it will not go down well there and 25,000 around the world. in london a few thousand. credit suisse is a big investment making unit. it is totally reshaping that landscape and refers -- reaffirms what ubs is trying to do which is get out of the risk caffe capital-intensive fits. the quantum is about what was expected. it was interesting to see this figure of 36,000 people, big cuts and it will be a big job ahead to get that through. francine: i'm expecting fireworks at the atm of credit suisse tomorrow and on wednesday we have the ubs agm. do we know where the cuts come from? are they going to look at their staff and keep the best? james: combined it's hun

they were a rogue bank they were a rogue bank, one of the largest banks in the country.were rogue. >> right we should point out, net interest income for many of these banks was higher than expected certainly helping jpmorgan >> i'm glad you poipnted that out. >> breath better growth in revenue expenses >> you're very right >> net interest income came in stronger >> look, i'm looking at net interest income for jpmorgan, $20 billion. net interest income from wells, you got 13.3 i was looking for 12.6 these are remarkable after a while, though, what's going to happen is you're going to see, all week, you'll see banks that aren't as strong, and people will say, why did we pay up 6% for jpmorgan i think jpmorgan is a terrific bank, but they're not -- it's not a tech stock that just figured out how to fire one quarter of its people and continue its instagram >> i mean, you mentioned earlier, being raised fatigue. we got 20 names so far this season, 19 have beat, and that explains why we've come into this earnings season relatively hot compared to prior earnings cycles >> i've

banks and from european banks, and japanese banks, and puts it into long-term bonds. some of the capital has to be liberated and allowed to flow into working capital, so that there can be relief within the customers of banks. so, that is actually an urgent problem. there needs to be more credit provision from the banking sector. there was ample discussion yesterday of the reduction in credit going out from banks, in the advanced economies and around the world. i was in west africa two weeks ago. regional markets have been slowing down and shutting down there. that comes on the back of the international markets, also closing down. as we think about the impact on developing countries, this is a severe shock in terms of financing. i really think it needs urgent address by the advanced economies of what is going to be done in order to allow working capital financing to start slowing again. thanks. >> >> in the middle, toward the back, alex farmer. i am sorry, i have called on someone else. >> do you think the world bank has become too politicized? your own departure seems

policymakers warned of the banking turmoil on the central bank rate hiking path.he governing council member robert holzmann says this is weighing on his hawkish outlook. and meanwhile, credit conditions in the euro area have tightened. holzmann argued that the ecb would need to continue the 50 basis point rate hike telling joumanna recent events shifted his views. >> his comments two months ago were well before things that happened in the u.s. and switzerland. and if things remain unchanged means the inflation rate remains high and particularly the core inflation. if the rest of the economic conditions do not deteriorate, then we need to think about more increases than what we currently have things have changed in the meantime and when this happened, we had the experiences in the u.s. and switzerland what we have are the experiences of the monetary conditions are claimed to have firmed up. credit is sparse compared to before now credit is given out and rates mean we have a different situation. as a result, i think things change with 50 being in the ballpark the ne