lloyd blankfein, good to have you back. >> fareed, good to see you. thank you. > >> fnow, i don't want to give yu ptsd, in 2008, how is this crisis different from 2008? >> well, a crisis is a crisis. but has different roots and characteristics and very different. we'll see if it gets to the same dimension. for one thing, in 2008, the banks had bad assets on their books or least in many cases investors, shareholders, the government couldn't assess what the value of the assets were. you member sub prime mortgages, were they worth anything at all and what were they worth. here you have the asset side is good. most is government debt and the government prints the money, so that is money good, but the problem is they took duration risk, they insisted in long-term bonds and when interest rates went up, the interest rate that they got on their bonds and inventories went down in value so in this case, and so that sparked a bit of a concern among creditors and depositors and so deposits left the bank. so in 2008, there were asset problems, and the current mark

people who was at the center of the storm the last time around, the former ceo of goldman sachs lloyd blankfein about whether the system is stable, and is your bank account safe? also, how did it come to this? did we learn the wrong lessons the last time? i'll talk to julian tet of "the financial times." then -- don't mess with the french people's retirement plans. that's the lesson from weeks of strikes and protests and then chaos in parliament as the government pushed through their policy anyway. [ speaking non-english ] >> which brought the outrage right back to the streets. ♪ ♪ >> we'll tell you what you need to know. >> but first, here's my take. on his trip to saudi arabia last year president biden made an emphatic declaration about u.s. policy in the middle east. he said we will not walk away and leave a vacuum to be filled by china, russia or iran. last week's reproachment between saudi arabia and iran brokered by china suggests that this is precisely what has happened. the re-establishment of relations between iran and saudi arabia is not in itself a seismic event. they broke off relat

lloyd blankfein. we get 25, i guess that's what's expected. i'm not sure that changes things that much. obviously the comments and the outlook are going to be important to see whether that's changed at all given what's transpired in the banking sector. treasury yields also, you wouldn't say they're way out of whack with what we've soon. we've been below 3 1/2. >> a heck of a lot stronger than last week, though, the yields. >> right. and after a couple of bank failures. so receivership or however you want to -- >> that was down to 3.6%. >> a high of 4.7 or something. >> as joe mentioned, the countdown is on. the markets will get the fed's decision on interest rates at 2 p.m. eastern time followed by chairman powell's news conference. steve liesman has been handicapping expectations which seem to change on an hourly basis. >> while investors try to game out what the feds are going to do today, this's a little-discussed wild card and that's the large number of freshman voters right now. they all joined t

take a listen to lloyd blankfein, former ceo, now chairman of goldman sachs. >> i think at this pointe recognize that a $250 billion bank is no small bank. and perhaps a $50 billion bank is no small bank. and even smaller ones. so i think there is going to be regulation that normally applies to the biggest banks will probably have to be extended. and that regulation includes bigger stress tests, having to have more capital, and other features that are generally make the system safer. >> congress is also set to look into the collapse of silicon valley bank in the coming weeks. on tuesday if legislation is to change, of course that's where it will happen. >> all right, clare sebastian, many thanks for that live report. appreciate it. >>> well, meanwhile, the british government is getting ready to reveal its official budget. the latest chancellor of the exchequer's announcement is expected in just a few hours from now. it follows a very volatile year with inflation, strikes, and fears of a recession looming large. cnn's anna stewart picks up the story. >> morning chancellor. are you goin

watching the likes of lloyd blankfein tweet that a few banks may have issues like svb, but only a few fed likely on hold >> everybody is weighing in today. we'll start with the picture for regional banks look at the kbe, down 25% over the last week. how can they reassure investors they're in a safe financial position let's bring in fifth third's ceo, tim spence. great of you to join us on a day like today where we're seeing pressure on the entire group, including your stock what are you hearing >> thank you, sara i think todays like today are the days most important for us to be out in front of our markets and in front of clients to reassure them that the issues as you mentioned earlier really are contained to a limited number of banks who either had concentration challenges in individual sectors, or asset liability mismatches that are now working their way through the system >> do you have any of those? >> no. no i'm exceptionally comfortable with the position we got we have one of the most granular stable deposit bases among any of the regional banks. a significant share of deposits

release details on who taps this lending facility from two years from now, march 2025, and we have lloyd blankfein, thinks -- sees positives and says anxiety and volatility are high, but sharply lower rates, fed on hold, strong positives from the markets do you agree or think we're risking a rerun of 2008 here >> i don't think we're risking a rerun of 2008. a lot of people that are still in charge were there back then and they know what they needed to do to right the ship, so i would tend to say that if there are any mistakes they will be new ones not repeats of old ones i also think that history can offer some guidance because the fed usually starts to lower interest rates about nine months after the last rate hike and while the s&p was up an average of 13%, financials led the way up an average of 22% so usually the groups that get beaten up on the way down, tend to be outperformers on the way back up. >> all right thank you very much. we appreciate it. >> my pleasure. >> the effects of the banking crisis in the u.s. rippling all 'le way to china's start-up maet wel have the details, next network

getting out of the marcus online retail banking effort started in with lloyd blankfein, expanded under >> windings that down. i understand they looked at the books. does that mean they want to buy the whole thing? i doubt it. do they want to buy a piece of it? the loans? if it doesn't sell it could go under. if it goes into receivership the loans are sold in the secondary market. will goldman look at it for its own trading purposes. liz: do i clarify, first republic has to be sold, cannot stand on its own? >> it will be difficult. this gets back to the premise of the story if you look at assets and liabilities, it has many more liabilities than assets. its loan book is way underwater. its assets, for example, of treasurys and loans to the rich guys, you saw all people borrow from it at very favorable rates, those loans, the thing technically, would be from what i understand as a blue chip clientele, has a great business if you took out assets from the liabilities there would be a negative there, okay? that's if you have, that is if you have to sell. now they're getting more capital. ja

. >>> lloyd blankfein says only a few banks may have issues similar to the problems that brought downeet this morning the former goldman sachs ceo says the biggest banks have much tough are regulation and stress testing. >>> and "the wall street journal" reports that svb's failure came 14 days after the big accounting firm kpmg gave the bank a clean bill of health for 2022 it gave signature bank a similar report 11 days before it failed. the journal says those reports will probably generate lawsuits and regulatory scrutiny. scott? >> all right thank you. that's seema moody >>> let's bring in glen kacher, the founder and cio of light street capital, former analyst at tiger management as well. welcome. good to see you after i know what has been a tough weekend for everybody. >> thanks very much. i appreciate that, scott you know, i think it's our job to first start by thanking the treasury, the fed and fdic for stepping up and backing these deposits before the open this morning and even before futures opened last night. >> you seem to be somewhat critical over the weekend of the have be

now, lloyd blankfein, former chief exec it of a goldman sachs, saying he thinks the fed can pause now because what we are seeing in the financial markets is going to cause major tightening of financial conditions and that can take the place of a rate hike or two. that is the other side of it. another interesting thing people have to start thinking about, the dot plot. every three months they upgrade, revise the outlook for the economy, for inflation, for employment. and that means they change their interest-rate forecast for the coming year. what are they going to do at a time like this when they signal more rates hikes, by inflation. if they don't, that could spooked the market. one more thing, jay powell is under fire now politically, and that makes an even more tricky path for him. shery: kathleen hays and sonali basak here with the latest on the banking turmoil ongoing here in the u.s. as well as in europe. our next guest says consumer trust in the banking system is being tested right now. with us his partner in the financial institutions practice. great to have you with us. i ask