the story from forward bank was submitted separately. is it is not related to activity without a sandwich of economic security e-e in the direction of the xbox bank but ibox park. well, it was not possible to talk about it at that time, but it was actually a separate subject e-e of consideration by our temporary investigative commissions in the parliament of the economic of security, i.e. ibox bank, he processes huge amounts of money from the gaming business from other incomprehensible organizations , i.e. we are talking about, for example, the failure of ibox to conspire to provide the nbu commission with a document that explained the positions that took place between x bank and the leopay payment system and 7.5 uah billion, well, this is just one of the examples , that is, the revocation of the license and subsequent searches are all about something else. this is not about the fact that you simply do not return the position to the people. that is, it is not the story of 2014, when there was a bank collapse, it is cancer on the system o

be wrong about the wording here, but regarding transparency and financial operations , another bank, forward, which has russian roots, was also withdrawn from the market. is it correct? i understand that there are different reasons for the liquidation of these banks . how harmful is it to our financial system, does it threaten stability? of the financial system, you know when banks like ibox are withdrawn, it is useful for the financial system, therefore, in reality, the consequences will not be big, really, these are different stories, and god, judging by everything was just the conductor of these schemes, apparently i can't be sure, but somehow it is definitely connected with iboxb and all these schemes in the gambling business, and forward bank is an old story, i didn't tie it to this. it dragged on for a long time and now it's just the end point and ibox - it was an immediate solution, again nine banks were named there, but it seems that some of them could be used in the dark or there in gray, that is, that the banks simply turned a blind eye to some customer transaction and they can ver

with credit suisse, ubs, but it does cause a bit of a question of how stable is swiss banking in the future going forwarde an important banking country and they like to have their two swiss national champions. francine: and at the same time it raises questions about credit suisse first boston. paul, what did you learn this week in terms of the banking system? this was fear out there. we know credit suisse has had huge problems, but are you worried it could happen elsewhere? >> do you means and other european countries? francine: in another bank. paul: i guess we are living in these tense times. it is probably more in the u.s. than europe, but we have had an awful lot of quantitative tightening underway and money is leaving the system, and what we are seeing in the u.s. is a problem not necessarily of not enough money, but not enough money being in the right places. it is a distribution issue and perhaps you could start seeing some of that in europe elsewhere, but i not think -- it does not seem to be on the cards. it is a lot of liquidity around and we are not seeing yet anything like the same sort of is

the thing that still needs to be answered is, how does this whole sector do banking going forward andoes it do banking with the echo silicon valley bank was not just where vcs put deposits. they relied on it for a lot of services. it was the first bank to take risk on early-stage companies. the first person or bank a founder would go to. it would take calls when other main street banks would not, or wall street firms would not either. that is a big question going forward. there's a lot of hope from the vc community that somebody comes in and buys silicon valley bank and it is able to continue operating in the way that it has always done. jon: briefly, for the venture capitalists themselves, are they stepping up in the short term as those startups try to figure out some funding needs? ed: i had dozens of phone calls over the weekend, with people telling me they had to plug gaps. they work or vcs they had done investment with. a member, they are not themselves flush with cash. they do not keep it all on hand. it is a very interesting dynamic. kriti: certainly something we will be keepin

banks sort of bridged the gap but the hope is that things stabilize going forward and they can regain some of these deposits they have lost over the last three weeks. guy: bank regulators need to enforce existing laws says senators god. he says the regulators are asleep at the wheel making his views clear. maybe existing regulations are good enough but they need to be enforced. we had some data that points to a consumer that's feeling they are in good shape how will the fed do that alongside what we are seeing here which are problems that still exist within the u.s. banking system? michael: you can sum it up by pointing to the fact that $250,000 in deposits is guaranteed by the fbi see and has been for many years. the average american does not have more than 250 thousand dollars in their bank account. for them, this is kind of a non-issue. it's a big issue for some businesses that deal in cash and some of these banks taking these huge deposits that are uninsured. most people feel their bank is probably safe. americans should look past this unless something else happens. as long as the

realization of which requires the foundation of one of the things that economic activists put forward , bank facilities for production units, should be considered. for banks that need capital today, the head of the parliament's industries and mines commission says that in the note 18 of the budget law of 1402, good resources for production are considered and well arranged , there is an account called the provincial account. the president of the 60th president has made a permanent arrangement for the government to deposit resources such as excess tax revenue from the state's productive rights into this account , and each province should increase its productivity according to its own needs. from these sources, it can only be produced let's use the topic of consumption, friends, saying that we put a budget for note 18, note 18, take it easy, sir, for production and industry, the number of this note is 18 %, a very small amount, removing the budget is needed, which was for working capital, production of fixed resources, one for having children, marriage, and housing. the same resources are suppo

forward. >>> new banking bail yut. this time it is the swiss in trouble. >>> in california, getting ready for another soaking. for this homeowner it is a cloif hanger. >>> that jingle -- ♪ those commercials and that so-called dog named spot. ♪ >>> this is the "cbs weekend news" from new york with jericka duncan. >>> good evening and thank you for joining us. u.s. presidential history could be made this week. that's if former president trump is indicted by a manhattan grand jury following an investigation into hush money paid for an alleged sexual encounter. in posts this weekend mr. trump referred to the allegations as old and fully debunked. calling on them to protest, protest, protest why cbs' skylar henry in washington with the latest. good evening. >> reporter: good to see you. his team says that that's based off media reports and not from the manhattan district attorney's office. donald trump was greeted with cheers at the ncaa wrestling championships in tulsa, oklahoma, last night. calling his supporters to prote

bank president. we intend to put forward a candidate to lead the world bank. someone that we think meets the strong qualifications that are necessary to lead the world bank and will be committed to the kind of reform process that we want to see the bank engaged in. someone who shares a commitment to the bank's long-standing work to fight extreme poverty and promote prosperity and will also undertake addressing the global challenges like preparing for future pandemics and addressing climate change. so, beyond that, we intend to quickly put forward a well-qualified candidate and i don't have any updates for you on who that will be. stay tuned. >> goes to viktoria. bloomberg. reporter: viktoria dendrinou from bloomberg. you mentioned ukraine and how support for ukraine is going to feature strongly in your discussions. i was just wondering if you could talk to us a bit about more concrete deliverables that you expect to get from these discussions. like in terms of more financial aid, a joint communique, or maybe details on the size and timing of an imf program and

assistance he told me we are well on our way to achieving the milestones and recalculation of the bank going forward. the chairman of snb said they were satisfied with credit suisse and the strategic plan to get the bank back on its feet. speaking to the fact that all of the comments coming right here out of saudi arabia and what it means going forward in terms of saudi arabia's place as a major player on the global markets guys >> thank you, hadley. >>> coming up on the show, european equities rally after the swiss central bank steps in to help credit suisse. stay with us we will be back after a short break. it's official, america. xfinity mobile is the fastest mobile service. and gives you unmatched savings with the best price for two lines of unlimited. only $30 a line per month. the fastest mobile service and major savings? can't argue with the facts. no wonder xfinity mobile is one of the fastest growing mobile services, now with over 5 million customers and counting. save hundreds a year over t-mobile, at&t and verizon. talk to our switch squad at your local xfinity store today. >>> we are not

trying to figure outs what these banks can earn moving forward. like you said, they are trading seven times today. for a group that trades at 10 to 12 times at the larger end of the spectrum, thatdiscount to the degree we can remove failure, i think we will have a nice run in the group and make up that gap that you showed from the under performance in the first quarter sdp >> something to watch. you say you are looking for stability. how important is the pce report for the stability if we see inflation showing a clear downtrend? does that add to the stability or give you an answerof what the fed will do next >> i don't know if it will give us an answer, per se i agree with you, we expect another 25 basis point hike. to the degree we get stability around inflation and additional rate hikes off the table, that would help the group from a credit contagion perspective we have seen no sign of credit fallout as of yet. obviously, with what we have even in the past few weeks, it is a harder landing which increased significantly. we start to get the stabi

so what stops the idiot bank manager going forward from doing anything they want within the regulatory environment taking as much risk as possible to get the stock price of that bank up, that is how they are compensated, this will create perverse acts by bank managers and crazy behaviors. in the end, it is not a long-term solution, either you decide to nationalize banks in which case all bank managers work for taxpayers as employees like giant utilities or let the private sector be the private sector and you have collapses by idiot managers like silicon valley bank. end of the day, would have only cost depositors around 5%, those uninsured above $250,000. people that have money more than $250,000 are sophisticated investors and could take the hit. we now have moral jeopardy of idiot bank managers everywhere doing crazy behavior. >> dana: do you think that realization will cause anyone in dc to roll back what they decided to do? >> kevin: it is happening as we speak, this is becoming very politicized, unintended consequences starting to sink in and this debate is going to rage and becom

the federal reserve bank brought forward these problems to the bank, and they failed to address themtimely way. lisa: senators asked why fed regulators didn't act sooner, with some republicans noting that the agency saw signs of risk and flagged them asarly as 2021. >> the federal reserve knew well in advance that silicon valley bank had a problem with holding too much of its money in interest rates since xx -- since the government bonds, didn't you? >> i think the investing public and the federal reserve, which cited it for interest rate risk problems knew that it had interest rate risk >> the federal reserve didn't do anything about it, did it? >> i disagree with that, senator, respectfully. the federal reserve did cite these problems to the bank and required them to take action. bank management failed to act on those. >> you didn't follow up, did you? lisa: some senate democrats like elizabeth warren are urging more regulation. but not all. jon tester of montana voiced his larger frustration. >> i am not a banker, i ain't even close to being a banker. i'm a dirt farmer. let me tel

because there's -- with these high interest rates, there will be more pressure on banks as we go forward from here they have their work cut out for them for the future. it's up to the banks to have strong balance sheets, strengthen them further. it's up to the regulators to do their job and confirm that we have a little ways to go to reassuring the markets and the public >> a lot of talk about the fdic and whether or not they should raise for everyone the cap on what deposits are insured. do you think that's a wise idea? what needs to be done if, in fact, that were to happen? >> i think the fdic set the expectation that all deposits are going to be insured. they can say this is a one-off, but what about the next regional bank or larger bank that has any kind of hiccup and they would say, no, we're not going to bail you out. i think that would be catastrophic probably. they set the expectation now, it's just a matter of carrying it out as they go forward. that weakens the market discipline it raises the moral hazard issue. but that's probably a discussion that will go on from here for som

we will talk about tier one and tier two banks and what that means going forward. do you think this will continue? >> the bank run will continue but maybe not to the point we get a failure. you have to ask yourself this gets to the idea is a two-tiered banking system. tier one is too big to fail. the jp morgan's, wells fargo, and tier two is everybody else. tier one you are a depositor that bank. but tier two are you an unsecured creditor or a depositor. if you perceive yourself as an unsecured creditor which a lot of these large companies do, why wouldn't you move to a tier one bank. i thing a lot of people make that calculation and say my bank is not in a fail tomorrow. they are offering the half a percent and if they run into trouble with the downside for me to use my money to chase. it's 10 minutes on my phone and that's what bankers will have to deal with. tom: one of the stories on the bloomberg is how those top banks sucking in those deposits. the question about how that leaves the financial sector for the u.s. after this is unwound. >> i think the regional s

ears on the commentary over what they will do going forward what do you expect going forward and how will the bankingsis weigh on the move forward? >> they will knowledge what is happening. i don't know how you can't i think the fed wants maximum flexibility. i would want to build a case for maximum flexibility. lo look, if things deteriorate, the hiking cycle is over if wie get out of it and we are looking okay, we want the ability to hike. i think they should aim for maximum flexibility. >> wouldn't the markets appreciate clarity >> where is the clarity? you have half the community saying they will go tomorrow and half saying they're not. we are in the fuzzy place which is why maximum flexibility is what they should aim >> do you think the market will respond saying that's it >> i think the market might worry about that if that is it, why is it because all of a sudden things are deteriorating more than we think? that is -- look, i think if we're being honest, the fed is having a hard time with narratives it is a really tricky one for the fed to pull off tomorrow >> tom porcelli, thank you it is imp

how will that affect banks and their ability to make money going forward? but at some point, i heard this phrase throughout the day, i think this is the perfect time to do this are we throwing the babies out with the bath water? at some point, banks do deserve, perhaps a 50% haircut. we won't know for a while. but do others deserve that too that's what we saw pretty much across the board in regional banks today. >> well, i mean, it is the same within that sub sector as you have seen with deposits which is you are going to make the run first and ask questions later. you are going to get your money in a safe place and shore up your liquidity and see what their holdings are in terms of securities, deposits on hand, concentration risks, things of that nature. to answer your question between the push-pull between the rate move and where we are in terms of the stock market performance we have seen today, i think in the short term that the over arching thing has been monetary policy but if this is the thing that is the first to break, we have yet to see what the im

it will have on international banking a going forward. in kenya, please, in the capital nairobi have 5 t guys at demonstrators protesting against the rising cost of living and fuel shortages. some of the crowd throwing rocks at the police. more than 20 people have been arrested including 2 opposition and peas. opposition leader reloading. and already last, last year's presidential election to william route i on these calls, the kenyans to come out on to the streets. on the south africa's opposition parties, economic freedom fighters is calling for a national shut down and mass protests. it says it wants the president to be removed and rolling power outages to end security has been tightened at government buildings and the army has been deployed. however, tarza is up those protests in pretoria. we cannot just sit, hold on to nick this country, canada. that is what you need from me. he's the leader of young to see if it's high to my not. he's marching with me heading to prison around the post office here they say they go to the mines design

canada's banks step forward trying to address some of the weaknesses that the silicon valley bank collapsegested. responding to the credit suisse and ubs merger, it is a complicated web. because of ego -- deep economic integration they are affected by these instabilities. i'm sure it will be under consideration. alix: when it comes to monetary policy this is a similar thing to climate. are there central banks on the same page with each other? that will feed into the backdrop as well. guest: although they will sometimes take different decisions on inflation and interest rates because of the local conditions the remarkable thing about the canada and the u.s., the federal reserve and the canada -- are situated in the same time zone. a lot of calls between the two agencies, that same time zone also share's wall street time zone. there is a lot of coronation in real-time, live data shared, of the nice things about the nature of this relationship is the bank of care that -- bank of canada's like a pure review offering their take on if the fed's view of how canadians can view the same data, that

bank can fail then? >> bankers doesn't have to be careful, they assume they're going to get bailed out. yes. that's going to be a problem going forward change that expectation. one of the things they need to do is raise the capital level. if you look at the full balance sheet and risk, they have capital listed around 5%. off of trillions on the balance sheet you have a 5% margin and that's too low. the fed needs to have stronger capital standards so someone has to be looking at these banks going forward. >> these rule remind me, even a lot, talking about financial news and that's goldberg scheme. dodd-frank is so convoluted and every regulation has so many aspects. what about higher, real capital ratios? if it was 10% and you didn't use risk-weighted capital, will banks lobby and say they won't lend money if they have to have 10%? >> if you're a stronger bank, cost of capital goes down, number one. and number two, you can withstand shocks like we're experiencing now much better. no, now amount of capital will save you from bad management but capital will keep good management able to absorb shocks that come their way. when you have 5%

bank financing and climate bonds. it is really good to see that that discussion is moving forward. we need climate bonds. we need green bank financing and the thing that was striking to me about that hearing on wednesday is that, there was no discussion at all of revenue bond financing, it was all just general obligation bonds, which you have to increase property taxes or other taxes to get general obligation bond funding. it is understandable that folks don't realize this because it is buried in the city charter, but if you look in the san francisco charter under revenue bonds you see there are 8 different categories of revenue bonds and by revenue bonds just for the public, that means bonds used to build things that make their own revenue like a toll bridge or renewable energy from the customers and so that since they don't have to raise taxes, it doesn't going to the voters can be waived and that has been done. voters passed ballot measures that waived the requirement for the board of supervisors to go to them on the ballot to get revenue bond financing, and the last addition of that was in 2001 when v

business and they must join the system , something about them, and we are now moving the central bank forwardich is almost done with the technical work , negotiations and coordination. done, we accept the same payment devices that businesses have as a store terminal, that is, when an acid acceptor sells a product and receives the payment, a small invoice is issued to him . we found with a broker that the procedure is done, the same invoice is considered and placed in the sales folder , but we are simplifying the work for 9 million businesses, we now have nine million trade units that operate payment machines and have acceptors, and therefore with these acceptors and elsa elsa with we are taking a very important step towards the implementation of the law to the modian system. now this work has been almost coordinated. by the end of this year, we will establish this connection for 80,000 sample receiving devices , and from the beginning of next year, we will use god's will with all 9 million devices . payment to the madiana system we will do it, and since when did these business owners register

transferred to the system , something should be done about them, and we are now moving the central bank forward, the technical work is almost done, the negotiations and coordination have been done. we ask the same payment devices that businesses have as a store terminal, that is, when someone sells the goods at the receiver and receives them, a small invoice is issued to him, in a simple, small way, we have to make changes. a broker who does the procedure can this same invoice be considered and placed in the seller's folder, so we are working and simplifying for 9 million jobs, we now have 9 million trade units, which actually have payment devices and acceptors, and therefore with these acceptors and elsa elsa and anna in the system taxpayers , we are taking a very important step towards the implementation of the law

bank profitability. we're assessing what all of this means going forward for how we should view bank stocks. there's a lot of collateral damage just within stock prices alone. i bring up what charles schwab and that stock price has been doing today, which is down nearly 10% i bring it up because josh brown, you bought charles schwab. >> i did. >> today >> i did some of the best trades i ever made were in the midst of a crisis where they just start indiscriminately hitting stocks that will not go down as a result of that crisis and a great example is like 12 years ago, with the european contagion fears in 2011, bank of america went to $6 like morgan stanley was single digits. people forget it was like an echo crisis of 2008. we did it all over again in 2010-2011 and you had a lot of i would call them generational opportunities. schwab could go lower. i don't think it needs to. i think we can probably see some of the panic come out of that name they put out an activity report more than 80%, this is important for every viewer who has money, custody in schwab with an adviser, our firm with schwa

i mean, the of the queen etn the level have of the assets of banks moving forward and an even smallermay get acquired 2 new. so there's definitely going to get discussion the policy worried about these topics. >> thank you so much for joining us professor at that written and they're just the chair of economics. a cash cow some about economy because it has been a most of president just want to make sure i had the title. right. thank you so much for joining us here. professor. no, thank you. still ahead here at 3 o'clock, mississippi hit hard by a tornado will take a look at the damage and the latest on the search and recovery efforts. >> but first, lawmakers are spreading the word about a critical medicine shortage critical medicine shortage here in the united states. when a truck hit my car, critical medicine shortage here in the united states. the insurance company wasn't fair. i didn't know what my case was worth. so i called the barnes firm. i was hit by a car and needed help. i called the barnes firm, that was the best call i could've made. i'm rich barnes. it's hard for people to

the board and -- sorry the federal reserve bank brought forward the problems to the bank and they failed to address them in a timely way. that exposure led the phone to be highly vulnerable to a shock and that shock came on the evening of ones a march 8th when it very belatedly attempted to adjust its liquidity position and reported a losses on it's available for sales security. the market reaction to that was quite negative and that eventually on thursday sparked a deposit run. >> some of their practices appeared to violate the basic principles of banking one-on-one. concentration risk, over a lying on insurance policy, forest management, the list goes. on how poorly managed was as? bank >> supervisors had rated the bank and a very low rating. normally we would not be describing these matters, confidential matters. given that the firm failed and triggered a systemic risk determination, i'm prepared to talk about that confidential information. the firm was rated a three in the camel scale which is not well managed. at the holding company level, it was rated deficient which is also clearl

banks it's a problem. even if it doesn't to forward, if the banks start getting more cautious with their lending which is unfortunatelyr, that becomes a problem too. neil: what about those who are applying for mortgages, are the banks, regionals, some applied are they being tight on their standards? >> haven't seen it so far in mortgage end but acquisition of, construction, the front end of the pipeline. neil: thank you very much. good catching up. jerry howard, national association of home bidders. he is the big cheese, the boss. the dow up 233 points. we'll have more after this. ♪. this man needs updated covid protection. so does she. yup, these guys too. because covid is still out there, and so are you. and if your last vaccine was before september 2022, you're out there with fading protection. but an updated vaccine restores your protection. .. get an updated covid vaccine and stay out there, safely. (woman 1) i just switched to verizon business unlimited. it's just right for my little business. unlimited premium data. unlimited hotspot data. (woman 2) you know it's from the most reliable 5g network in america? (v

that will have its say in terms of how viable the credit suisse business is going forward because inevitably this bank has experienced challenges over recent years and this will have done nothing to steady attitudes toward the organization and it is in a long-term restructuring program where at this stage there is no guaranteed target for when profitability will return to the business the bank continues to say 2023 will be another loss making year for this program so, the smart money continues to be and you will read this at some point there will be a swiss solution here that would involve ubs and other swiss banks taking parts of credit suisse that is speculation in and off itself which doesn't help stop the money going out of the door. i think what will be increasingly critical here is what customer flow looks like through this quarter unfortunately, we won't see the hard data until the end of the first quarter in the back end of april for the earnings release here there will be a very close scrutiny on every comment made by the chair and ceo to get a sense of what the current business looks like he

of the a-t-1 bonds wiped out providing capital worries going forward and how safe are those and how difficult will it be to recapitalize bankss will prevail here we had a big stock to the system we had a couple of failures and deposit runs, et cetera. i will call it a bailout that is financial assistance to prevent a company from failing you know, the backstopping that is going on at the government level will stem the tide of losses. >> stephen, you are answering the question before i ask it stephen scouten now. same question. >> there is still trepidation of the casualties beyond this there is a little bit of shoot first and ask questions later when it comes to the stocks. you will continue to see the fallout until we get increased certainty. the intervention helps and it will stem the tide of deposit outflows in the near term, investors want a margin of safety there especially the larger institutions which are trying to avoid the sector for the time being. you know, people will jump back in eventually and try to find value plays. for the time being, they need more certainty and more explicit guarantees from the u.s. govern

they better startan stepping forward to make sure the banks are in the up and up. not just the banking industry that all industries. >> i completely agree. looking back at this situation the depositors remain whole and that is what one would expect in the situation. and then with investors and then to be sure that over time and why theysk go to such incredible lengths to manage risk. >> thank you for taking my call. what do they need to do to protect ourselves? >> sorry that's thehe wrong subject this is a was a previous segment now we talk about community banks. we have a question for you and deb is asking if you know about the fda says that joker in jail? nothing ever happens to the barren. >> i'm not finley with the specifics of where the cases. i will completely agree and that demands justice. >> another program coming up at 2:30 p.m. live coverage with the senate appropriations subcommittee going to be on c-span three at 2:30 p.m. eastern. so what will your organization be focused on going forward? >> to ensure that community banks are understood andnd differe

banks debility we saw. the two year yield up another five basis points. we have had some chunky moves here. we need to rate the front end of that curve as we look forward to the pce data friday. let's get to the banking story. when it comes to the banks, the focus was on the u.s. senate banking committee questioning regulators out the failures of svb and signature bank. here are some of the many highlights. >> this is a textbook case of bank mismanagement. >> we were seeing serious stress at other institutions. >> we used important tools to prevent contagion. >> we will continue to monitor conditions in the banking system. prepared to use all of our tools -- >> to ensure americans deposits are safe. >> depositors will continue to have access to their savings. >> regional banks in the united states remain a source of strength for the system. alix: for more on the hearing, we want to bring in megan scully from d.c. that is what the witnesses were talking about. it was pre-feisty when it came to some of the senators. as we go forward, what are we going to be looking at when it comes to the banking sector now? megan: what you saw today was federal official

vitriol is coming from members of both parties s here after this collapse of silicon valley bank to at least move forward with some scrutiny on the banking sector itself from washington. >> reporter: and tonight the house financial services committee has announced it will hold its first hearing into the failures of both silicon valley and signature bank later this month, lester. >> kristen welker at the white house, thank you. >>> in france tonight more violent protests erupting after french president emmanuel macron pushed through a highly unpopular change to the nation's retirement age molly hunter is there. >> reporter: across paris tonight, protests against french president emmanuel macron, hours after two no confidence motions were filed against his government. protesters gathered at the place de la concorde starting a massive bonfire, clashing with police in the square. on thursday, the reaction was swift after president macron and his prime minister forced the unpopular pension reform bill through parliament without a vote the bill raises the retirement age from 62 to 64 years old, and macron argu

. >> silicon valley bank has a lot of assets is just where the m-uppercase-letter. it's a attracted for way they want to purchase and move forwardthe administration as tools to deal with this. >> the bank abundance omitted a proposal for a uk subsidiary of silicon valley bank. we'll see if a buyer emerges tonight but the 17 branches are set to reopen tomorrow morning with normal business hours i'm sure it'll be interesting and busy morning. >> reporting live in new york, thank you very much. >> president biden facing backlash over the buzzer proposal he unveiled on thursday calls for roughly $5 trillion in tax hikes over to the next ten years that's a huge jump from the previous proposal which called for about 2 trillion and increased taxes. republicans say the plan would be devastating for all americans lucas tomlinson is live at the white house. is there something good for the economy in mr. brennan's budget? >> you business depends on the american subsidies you're probably drawing with the budget, on "fox news sunday" john kennedy says if he does not believe president biden is being honest when he says his budget keeps medica

it is going to be a golden age for us because we will be able to come in in the banking system in my opinion going forward are going to be more requirements. more equity requirements, banks will be more careful. the fed is going to supervise more. all that means is that it will be harder to lend and for folks like me it will be easier to come in and dictate terms. guy: what you are talking about is the tightening of lending standards. i am wondering what type of default rate we will see off that in the banks will be more cautious, they will tighten up who lynn too. you will be lending but probably at higher rates. does that imply a significant step up in the default rate? marc: it implies that the default rate should move up. how much i don't know. the economy is still doing well but ultimately, if you are not able to borrow it will have an effect on businesses and therefore you will have more issues. alix: we were talking to bruce richards and he said something similar. he talked about the golden age of credit and 10% default rates. he was looking at bank assets because they will need funding so they are

it will have on international banking going forward. but for credit suisse, the, of course, all of this is a huge shock for this 167 year old bank. i bank the back in 2008. and the height of the financial crisis was believed to be so strong that it didn't need financial help, didn't need a banking bailout, despite the fact that ye be asked a much bigger bank. it actually did. but of course, that reversal of fortunes has now happened. and the concern is though, what the long lasting impact will be in terms of the share price is on monday morning in terms of u. b. s, it's short. and so ab, so share price full by around 12 percent. but when it comes to credit suisse that fell by as much as $62.00 and a bit percent is lowest ever. the failures of that massive drop was largely because the markets were responding to how you be ass sees the real value of credits we shares. and the fall in the u. b. s shares was largely down to concerns about how all of this is going to pan out in the near future. but of course, going forward, there are big conc

i think we're going to see more bank issues going forward. that's negativ5é market. >> yeah. >> well, by the way, three banks we get bank earnings. so i know it's a little much. with you usually get a head start on earnings. we'll be focus on a lot of different issues, and what i think is going on with the banks and especially the european banks -- we don't need to get too deep, but deutsche bank is not only systemically important, it's the -- bank. the concern is what you saw happened in switzerland is something that can happen to any banks that are nationalized banks. the government can say, no matter what, they can say that. deutsche bank -- credit swiss lost $8 billion. i think the market is asking questions later, but we've seen, coming out of covid, remember how the banks lagged when there was a little bit of an overhang with what's going on in main street? i do think the dynamic around confidence and banking deposits is something that -- social media. deutsche bank was alleging it was social media that was stirring up the pot on this. t

david: and the banking crisis in some ways pulled that story forward, it really changed the mindset of markets around the fed and around central banks. the economic reality that maybe they hiked too quickly. the other story we are tracking is credit suisse. that is a story of the month. the catastrophe bonds that were meant to ensure the bank might outlive, that is another story you can enjoy on your timeline on the bloomberg terminal. amidst all of this, it is the dollar down 12 out of the last 14 days. two bond futures are higher. with us is the executive director of jp morgan australia. laura, even if the fed has one or two hikes in the back, do you think the yield has peaked? guest: there is a fair consensus that that is the case. what we have seen with the banking crisis, the potentially earlier stages of the banking crisis because it isn't over just yet -- there is an understanding within markets that we have seen some response from central banks and it feels like information is probably, at least in the u.s. and hopefully in other countries, maybe not going to be the sole determ

one of the ten banks that has a combined $30 billion invested in first republic to keep the bank moving forward. the stock has dropped a staggering 87% this month. the first republic struggles were not reflected in the overall stock market, and it was at the peak, and all three major composited finished in the green, and dow jones the biggest risers up 1.2%. >>> the big mac at mcdonalds is costing you more, basically up 55% reviewed by cashnet usa. the most expensive big mac is in hawaii at $5.31 and in mississippi, the cheapest at $3.31 and it is costing more in hawaii, california and new york, because the restaurant chain has to pay the workers a higher minimum wage in those states. >> yeah, everything is higher there and here. and now, jeff, everything is good, and lay it out how the week looks. >> new week, new storm coming on in, and of course, we have the updated time line on that, and in case you missed it, we want to say that the drought is showing you the improvements that we have seen. looking at the map, you can see that this is december 26th before the storm system started to roll n

banking regime. there will be an impact on credit. we probably don't need the rate hikes going forwardult of that. tougher banking client coming through. this is between the 2020. i think the market will be super sensitive to that. you're going into september swaps. incredible moves there. that could be quick problematic. >> in asia, what are you watching out for? if you have been closely monitoring what japanese banks are doing, they could be exposed to some of those u.s. bonds that really brought down svp. is there anything in particular you are watching? >> it is the u.s. dollar funding side of things we have been looking at. this is sort of a cross currency basis. last week we have been hearing about getting dollar funding are paying more for dollar funding. japanese banks are very bold into hedging costs for overseas treasuries. everyone is watching the tape in banks. not just in the u.s. and europe but australia and topics and just trying to work out if there will be a moment when the street starts to pull back into these banks. and just watching for a bit of consolidation. i thi

forward. the regional bank crisis in their mind and their estimation is now going to put a little bit more ofens to the construction activity? itqjf starts to maybe slow down even more which affects companies like caterpillar ande united rentals whoÑii] leasesoz of that equipment out. there aret( reverberations that are happening outside of the financialsÑi and the banks. >> absolutely. let me put this to you as we put it in the context of the broader marketswm+■ here. i forget how goldman put thisr earlier. just today they said ao-.ñheadw, not a hurricane. would you agree with that? >> it'sÑie1 fair. recession, but construction and retailfá andÑiñr services have doing well and we may now start to see aw3 downturn. you just talked about construction, right? maybe in retail and servicesi] start to see a rollover even as manufacturing is showing signs of picking up again.7hbr(t&háhp% we are in a rolling recession and it's not overxd any time so and the banks arer that in tez other parts of the market may not be. >>t( where are youçó looking? i don't know how you wantw3 to kind of,lp yout(t( kno

let me just ask you, the federal reserve is weighing tougher rules for midsized banks going forward.o you think that is going to happen? how would those new rules be? guest: i think there will be some rule issues that will probably be targeted specifically at the problems we saw at these banks. banks would have to show some kind of hedging to manage the risk that occurs through their investment portfolios especially , when you see interest rates rising to fight inflation. something along those lines. i don't think it's going to be disclosure rules. disclosure rules enable or make it easier for depositors to see whether they are above insurance limits. deposits could be at risk so diversified accordingly. then he is so far is led right now by the republican party, would have the appetite for approving strong, new regulations. but whenever you have a situation or a crisis like this with some large bank failures, you do have kind of like a just so response. a new rule that targets specifically what happened and i think we see some of that. mohammed: all right, we have run out of time. t

forward. >>> the bank failures starting with silicon valley will be discussed in a roundtable with ro khanna and nonprofits will join him to talk about their experiences at silicon valley bank. the roundtable is at 3:00 this afternoon. at his office along de la cruz boulevard in santa clara. >>> cinthia is here with a look at a sunny forecast. thank you for that. makes me happy. >> i'm glad we delivered the sunshine for you. let's take it to what we can expect if we go outdoors right now in walnut creek. of course, chilly to start the morning. then we will warm up into the mid to upper 50s this afternoon. a little bit of a breeze. the sunglasses, the hats, and, of course, another layer to keep your warm. i'll leave you with the seven-day forecast for the inland valleys. another chilly start tomorrow. monday, we can notice the clouds returning. once again, picking up the winds for tuesday's storm. we will be under a microclimate weather alert that day as we continue to track the storm on wednesday, possibly on into thursday. make sure that you're doing all of that prep work today in all of th

forward. >>> new banking bailout.s in trouble. >>> in california the golden state gets ready for another soaking. for this homeowner it's a cliffhanger. >>> and later we mark the end of an era in auto sales. that jingle -- ♪ go see cal ♪ those commercials. and that so-called dog named spot. >> announcer: this is the "cbs overnight news". >>> good evening and thank you so much for joining us. u.s. presidential history could be made this week. that's if former president donald trump is indicted by a manhattan grand jury following an investigation of hush money paid to women -- to women who allege sexual encounters with % him. in social media posts this weekend mr. trump referred to the allegations as old and fully debunked. he also implored supporters to save america calling on them to, quote, protest, protest, protest. cbs's skyler henry is in washington and has the very latest developments. skyler, good evening. >> reporter: hey, jericka, good evening to you. well, the former president said he would be arrested on tue

forward. >>> a california-based bank says on 20% since theq of last e1year, amid fears of a banking sector crisis27.1xd billio as of march 20th. now,e1 that's down by $6.8 billn from the figure on december 31st. pacific western says it has secured ( boler i liquidty.t firm te1 it als borrowd $2. billn in a new prram le by the feral reserve to provide additional funds to financial institutions. now, another california-based bank fijzc republic has also seen massive withdrawals. 11 major lenders, depositors total of $30e1fá billion earlie this month as a support measure in an attempt to curb the accelerating outflow of funds. >>> sources say struggli japanese conglomerate toshiba accepted a buyout offer from an investment fund that aims to take the company private. the proposal was made by japan industrial part for a full takeover. this will be done through a combination of financing from a group of japanesee1 firms and loans from major banks.xd toshiba's management has been i1 turmoil since 2015 when it was rocked by an accounting scandal. the firm has had a series of company presidents resign. it

bank -- act off, it might make inflation harder. it is a no-win situation. i think they will probably go forwardth the rate hike but signal openness and flexibility and they might not do it again if things go south. the truth is, if this banking problem that happened last week spreads to the entire banking system and results in a quick contraction, banks making less loans, it will cause a slowdown in way the fed interest rate increases up to thisoint haven't. there is a possibility we will see the disinflation, the economic slowdown they've been trying to engineer for a year come about because of the banking slowdown. but the range of uncertainty is enormous. william: neil, thank you for joining us. turning overseas, tensions between u.s. and russia on the rise after a russian fighter jet intentionally engage with the u.s. drone over the black sea tuesday. it was the most direct confrontation between the powers since russia's invasion of ukraine. it comes days after florida's governor and likely 2024 republican presidential contender ron desantis drew sharp criticism from several of his fellow r