Here are some updates to the recent discussion on loan growth weakness relative to rising deposit balances at US commercial banks
Tag Archive for Balance Sheet
Contributors- Economic and Financial, Must Read, Taken Down
What happens to banks’ balance sheets during a downturn – Sober Look
by Sober Look • • 0 Comments
Credit underwriters pride themselves in their ability to cut lending when they sense that economic fundamentals have changed for the worse. For example one often hears bankers talking about passing on deals in 2007 because of “not liking the fundamenta…
Contributors- Economic and Financial, Must Read, Taken Down
QE ineffectiveness is playing out on banks’ balance sheets- Sober Look
by Sober Look • • 0 Comments
Cash holdings are an increasingly large component of US commercial banks’ balance sheets. This demonstrates the fact that thus far the Fed’s monetary expansion is not producing the “optimal” result. Banks are not growing the non-cash portion of their b…
Contributors- Economic and Financial, Must Read, Taken Down
Chart that seems to violate key principles of money creation- Sober Look
by Sober Look • • 0 Comments
The chart below shows a clear divergence in trends of the total loans and leases on US banks’ balance sheets and the broad money supply measure (M2). Loan balance growth is slowing, while the money supply keeps growing at a steady rate of around 7%.Sou…
Contributors- Economic and Financial, Must Read, Taken Down
What really caused the Eurozone banks’ balance sheets to grow? Bloomberg’s explanation is wrong. Sober Look
by Walter Kurtz • • 0 Comments
A Bloomberg article this morning discussed the increasing balance sheets of Eurozone banks. It basically made is sound as though the ECB had been encouraging banks to take on more risk via the LTRO program. Bloomberg: – European banks pledged last y…
JP Morgan Latest News
JPMorgan: Well Positioned To Steer Through Another Storm – Seeking Alpha
by Newswires • • 0 Comments
JPMorgan: Well Positioned To Steer Through Another StormSeeking AlphaThere is no doubt that JPMorgan Chase & Co. (JPM) faces significant near term risks, owing to the outcome of trading loss investigations and its GIIPS exposure, however, these ris…
Liquidity Trader, Professional Edition
Macroliquidity Still in Pause In Uptrend
by Newswires • • 0 Comments
The Fed will decide on Wednesday whether, and by how much, it will increase the rate at which it pumps cash through Primary Dealer trading accounts. What it decides will have an impact on how fast stocks are likely to advance, and how soon that advance will end. A new program of QE that adds…
Liquidity Trader, Professional Edition
Is Outright Deposit Destruction Next?
by Newswires • • 0 Comments
Watching the slowing deposit drains in the European bank data, I have to wonder whether those who can get their money out have done so. That could be bearish for the US. US liquidity growth has slowed in recent weeks. If the Fed does not take aggressive action to expand its balance sheet next week,…
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Hussman Funds – Weekly Market Comment: The Heart of the Matter
by Newswires • • 0 Comments
…the problem that lies at the heart of the matter: a warped financial system, both in the U.S. and globally, that directs scarce capital to speculative and unproductive uses, and refuses to restructure debt once that debt has gone bad. Specifically, over the past 15 years, the global financial system… has been transformed into a…
Charts, Economics, Email Bulletins Archive, Lee's Free Thinking, Must Read
Initial Unemployment Claims Belie Last Week’s Hysteria on Jobs
by Lee Adler • • 0 Comments
This report is an excerpt of the currently updated permanent Employment Charts page which includes the monthly jobs and average earnings data, as well as the Labor Departments Job Openings and Labor Turnover Survey (JOLTS) and real time data on Federal Withholding taxes. The charts on that page are updated as soon as new data…
