"we believe the current C&I slowdown reflects payback from credit facility usage by commodities firms, many of which began drawing upon credit lines in late 2015 as financial conditions tightened and the debt issuance window closed" - Goldman
As shown on the attached chart, on a cumulative 4-week basis the slowdown in C&I loan creation tumbled by 2.8% as of the latest period: this was the biggest monthly slowdown going back to the financial crisis.
While most banks are in no rush to pay savers and depositors more, or anything for that matter, they wasted no time in piggybacking on the Fed's rate hike by boosting their own Prime Rate. Here is a list of the banks that rush to increase their Prime rate to 4.00% as of this morning.
"... nascent signs of cross-asset distress accelerated further this past week... it’s fair to say that we are experiencing a bit of a global 'Tightening Tantrum'... the prior two instances where [the model breaks], we have seen a concurrent doubling-plus in VIX..."
In the latest week, loan growth for Commercial and Industrial loans unexpectedly tumbled to just 4.0%, more than 50% lower than the 10% pace it was growing one year ago. This is the lowest pace of loan growth since July of 2011 and has prompted the WSJ to inquire "who hit the brakes?"
According to various press reports from both the NYT and CNN, Bharara is refusing the Trump administration's demand to resign, and as CNN reporter Jeff Zelezny adds, Bharara "will make Donald Trump fire him."
Further woes for the LBMA Silver Price benchmark provide an opportunity to launch a real silver price discovery auction in its place. However, the chances of this happening with the LBMA bullion banks still in charge are essentially nil.
In his latest webcast to DoubleLine investors, Jeffrey Gundlach echoed Hartnett, when he said that he expects the Federal Reserve to begin a campaign of "old school" sequential interest rate hikes until "something breaks," such as a U.S. recession.
Having taken a one month break since his latest February webcast, the time has come for DoubleLine's Jeff Gundlach to take the microphone again for his latest address to his investors (and everyone else) - titled this time "The Byrds", and hopefully provide some insight into this increasingly more confusing market.
The gold and silver beach balls have been pushed near the bottom of the very small ‘precious metals pool.’ The lower they are pushed in the short term, the higher it will surge in the medium and long term.
Central banks and international financial institutions represent? - ?and work for? - ?creditors first and people second. That is why they can be serially wrong with so little direct consequence. This is the backdrop against which we are invited to trust the banking system with central bank-issued digital currency.
The cost of funding for your average joe, average corporation, and average swaps trader, surged overnight. 3M Libor rose by the most since Dec 2015 (Fed rate hike) to the highest level since April 2009.