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☆ First Republic Bank executives to forego annual bonuses for 2023
▼ + stars: | 2023-03-22 | by ( ) www.reuters.com time to read: +1 min

March 22 (Reuters) - First Republic Bank (FRC.N) said on Wednesday all its executive officers have decided to take no annual bonuses for 2023, and founder and Executive Chair Jim Herbert will draw no salary effective March 12. The bank's executives have also forfeited performance-based incentives vesting in 2023, according to a regulatory filing. The rescue effort for Swiss banking giant Credit Suisse (CSGN.S) has also put the bonus pools of banking executives under the spotlight. On Tuesday, Swiss authorities imposed curbs on bonus payments for Credit Suisse employees. Reporting by Niket Nishant in Bengaluru; Editing by Shounak Dasgupta and Devika SyamnathOur Standards: The Thomson Reuters Trust Principles.

☆ Big investor in Credit Suisse bonds says 'bail-in' system worked
▼ + stars: | 2023-03-22 | by ( Herbert Lash | ) www.reuters.com time to read: +3 min

The firm's exposure to Credit Suisse AT1s represented 1.32% of Spectrum's assets under management (AUM) on Feb. 28. In 2021 and early 2022 Spectrum held about $400 million of Credit Suisse AT1 bonds, Jacoby said. The Credit Suisse debt represents about 12% of the benchmark for CoCos, a massive slice of the ICE BofA U.S. dollar contingent capital index (.MERCOCO), he said. "We had been paring back in Credit Suisse, had an internal negative outlook for a little over a year." "This is a Credit Suisse event and this is a Swiss bank regulation event, this is not a global disaster for CoCos."

"Indian firms that do not increase their prices and (don't) focus hard on profitability do so at their own peril. The move, while long-sought by overseas law firms, appears to have been somewhat unexpected in its timing. Foreign law firms have yet to announce plans for new offices in India but international firms like Allen & Overy and Herbert Smith Freehills told Reuters they are examining the new rules. Lalit Bhasin, who heads the Society of Indian Law Firms, said there were concerns that a foreign law firm might de facto operate as a full-service firm by hiring local law firms to advise on areas concerning Indian law. "Who is going to monitor whether that foreign law firm is not engaged in practice of Indian laws?"

Credit Suisse fell 8% in Europe and First Republic tumbled 30%. Banking troubles revived memories of the 2008 financial crisis, when dozens of institutions failed or were bailed out with billions of dollars of government and central bank money. Earlier this week, the franc plunged the most against the dollar in one day since 2015, when the Swiss central bank loosened its currency peg. Japan's Ministry of Finance, Financial Services Agency and Bank of Japan officials met on Friday evening to discuss financial markets. Masato Kanda, vice finance minister for international affairs, told reporters after the trilateral meeting that the government, the central bank and the banking watchdog would coordinate to ensure the stability of the financial system.

UFC 286 will stream live on March 18, with the main card starting at 5 p.m. How to watch UFC 286You can watch the main event of UFC 286 on ESPN+ at 5 p.m. Ways to save on the UFC 286 pay-per-view priceIf you're signing up for ESPN+ to watch UFC 286, you can take advantage of a special discounted bundle. New members can buy a year-long ESPN+ membership with access to UFC 286 included for a total of $124.98. Here's the fight card for UFC 286: Edwards vs. UsmanESPNEarly Prelims — 12:30 p.m.

☆ Executives at Silicon Valley Bank and First Republic Bank sold millions of stock right before the crash
▼ + stars: | 2023-03-17 | by ( Matthew Fox | ) www.businessinsider.com time to read: +3 min

Executives at First Republic Bank and Silicon Valley Bank sold stock right before the banking crisis. First Republic's chief risk officer sold shares two days before the Silicon Valley Bank implosion. Today, SVB stock remains halted but is essentially at zero after Silicon Valley Bank was taken over by the FDIC and SVB Financial filed for bankruptcy. First Republic Bank executives also managed to sell stock right before the crash. All-in, insiders at First Republic Bank sold about $12 million in stock in 2023 at an average price of just below $130 per share.

☆ First Republic Bank stock tumbles on credit downgrade and deposit worries
▼ + stars: | 2023-03-15 | by ( Matt Egan | ) edition.cnn.com time to read: +2 min

New York CNN —First Republic Bank’s credit rating was downgraded on Wednesday by both Fitch Ratings and S&P Global Ratings on concerns that depositors could pull their cash despite the federal intervention. Fitch also placed another regional bank, PacWest Bancorp, on watch for a potential credit ratings downgrade of its own. The moves reflect continued worries about the banking system in the aftermath of the collapse of Silicon Valley Bank and Signature Bank. Both credit ratings firms pointed to the large amount of deposits at First Republic that are uninsured because they are above the $250,000 FDIC limit. Moody’s Investors Service on Tuesday cut its outlook for the entire US banking sector and placed six US banks on review for potential credit rating downgrades, including First Republic.

☆ Dollar little changed as U.S. inflation data poses quandary for Fed
▼ + stars: | 2023-03-14 | by ( Herbert Lash | ) www.reuters.com time to read: +3 min

The euro edged up 0.09% to $1.0739, but the dollar gained against the safe-haven yen and Swiss franc. Fed funds futures showed the market's risk adverse mood in recent days eased as bets that the Fed would stand pat at its policy meeting March 21-22 declined. The collapse of Silicon Valley Bank and Signature Bank last week suggests greater Fed scrutiny of the banking sector may be in store as credit tightens. Futures priced in perhaps two Fed rate cuts by year's end, with the terminal rate seen at 4.179% in December, down from more than 5% last week. The Japanese yen weakened 0.69% at 134.13 per dollar, while the greenback rose rose 0.15% against the Swiss franc.

☆ Volkswagen invests in batteries, raw materials in race for affordable EV
▼ + stars: | 2023-03-14 | by ( Victoria Waldersee | ) www.reuters.com time to read: +4 min

Over two-thirds of the company's five-year investment budget announced on Tuesday is allocated to electrification and digitalisation, including up to 15 billion for batteries and raw materials. Volkswagen, Europe's top carmaker, is striving to close a gap with electric vehicle (EV) pioneer Tesla (TSLA.O) by expanding its slice of the growing market for battery-powered cars. Buzz EV car, on the day of the annual news conference of the Volkswagen Group at DRIVE.Volkswagen Group Forum, in Berlin, Germany March 14, 2023. Volkswagen met analysts' expectations in 2022 on revenues but missed the consensus estimate for earnings before interest and taxes by 3%. The most likely actual stock market candidate is battery unit PowerCo.

☆ Volkswagen to invest $193 billion over 5 years to hit EV target
▼ + stars: | 2023-03-14 | by ( Victoria Waldersee | ) www.reuters.com time to read: +4 min

[1/2] The logo of carmaker Volkswagen Commercial Vehicles is pictured at the IAA Transportation fair, which opened its doors to the public on September 20, 2022, in Hanover, Germany, September 19, 2022. The investments come as Volkswagen, Europe's top carmaker, tries to close a gap with electric vehicle (EV) pioneer Tesla (TSLA.O) by expanding its slice of the growing market for battery-powered cars. In the latest investment plan, up to 15 billion euros is ringfenced for battery plants and raw materials. VW outperforms EU rivalsThe investment decisions are targeted towards fulfilling a 10-point plan developed by Volkswagen CEO Oliver Blume after he took the helm in September. The most likely actual stock market candidate is battery unit PowerCo.

Shares of First Republic were up sharply in early Tuesday trading as concern over the state of the regional bank appeared to ease after a day of heavy selling. Shares of other regional banks also surged before the bell. Those moves come after regional banks fell sharply on Monday, even after U.S. regulators took extraordinary measures to backstop all depositors in the now-failed Silicon Valley Bank. In addition the backstopping the deposits at SVB and Signature Bank, which was closed on Sunday, federal regulators also announced efforts on Sunday to stabilize the wider banking system. "Outflows did not accelerate during the last few days and, in fact, some banks have seen net inflows given movement in deposits from SVB and Signature Bank," Tamayo said in a note to clients.

☆ Volkswagen to invest $193 billion to hit EV target, picks Canada for battery cell plant
▼ + stars: | 2023-03-14 | by ( ) edition.cnn.com time to read: +3 min

Volkswagen plans to invest 180 billion euros ($193 billion) over five years in areas including battery production and the sourcing of raw materials in a bid to cut electric vehicle costs and protect its market share, it said Tuesday. Over two-thirds of the company’s five-year investment budget is allocated to electrification and digitalization, including up to 15 billion ($16 billion) for batteries and raw materials. Volkswagen board member Thomas Schmall Ronny Hartmann/AFP/Getty Images/FileOn Monday, board member Thomas Schmall also announced that Volkswagen’s first North American battery cell factory would be in Canada, with production starting in 2027. The carmaker is still aiming to bring an affordable EV — costing around 25,000 euros ($26,795) at today’s prices — to market by 2025. The most likely actual stock market candidate is battery unit PowerCo.

☆ Futures rise after bank rout, CPI data awaited
▼ + stars: | 2023-03-14 | by ( ) www.reuters.com time to read: +3 min

ET (1330 GMT) from the Labor Department, will feed into the U.S. Federal Reserve's policy decision at its March meeting. On a yearly basis, CPI grew 6.0% in February, moderating from a 6.4% in rise the previous month. SVB Financial's (SIVB.O) sudden shutdown and fears of risks to other banks hammered the sector and broader markets in the past few days. "The CPI figures out later will be watched super-closely as another hot reading will reinforce expectations that a rate rise, albeit smaller, will be on the cards next week." ET, Dow e-minis were up 117 points, or 0.37%, S&P 500 e-minis were up 16.25 points, or 0.42%, and Nasdaq 100 e-minis were up 56 points, or 0.47%.

☆ Jim Cramer's top 10 things to watch in the stock market Tuesday: As-expected CPI boosts Wall Street
▼ + stars: | 2023-03-14 | by ( Jim Cramer | ) www.cnbc.com time to read: +4 min

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Biden said his administration's actions over the weekend meant "Americans can have confidence that the banking system is safe", while also promising stiffer regulation after the biggest U.S. bank failure since the 2008 financial crisis. Shares in U.S. banking giants JP Morgan Chase (JPM.N), Morgan Stanley (MS.N) and Bank of America (BAC.N) nevertheless weakened. But your second thought is, how big was that crisis, how big were the risks that this step had to be taken?" U.S. regulators stepped in on Sunday after the collapse of SVB, which had seen a run after a big bond portfolio hit. [1/3] U.S. President Joe Biden delivers remarks on the banking crisis after the collapse of Silicon Valley Bank (SVB) and Signature Bank, in the Roosevelt Room at the White House in Washington, D.C., U.S. March 13, 2023.

There's a big shift in rate expectations," said Marc Chandler, chief market strategist at Bannockburn Global Forex in New York. Goldman Sachs (GS.N), among other big banks, said it no longer expects the Fed to deliver a rate hike at the end of its two-day policy meeting on March 22. "There's been a radical change in interest rate expectations and in that scenario the dollar has weakened," said Niles Christensen, chief analyst at Nordea. The Japanese yen strengthened 1.47% at 133.04 per dollar, while the dollar fell 1.23% against the Swiss franc at 0.910. Earlier, it hit a near one-month high of $1.0737, ahead of the European Central Bank's policy meeting on Thursday.

☆ First Republic leads losses among U.S. regional banks on contagion fears
▼ + stars: | 2023-03-13 | by ( Medha Singh | ) www.reuters.com time to read: +4 min

[1/2] A person walks past the Park Avenue location of the First Republic Bank, in New York City, U.S., March 10, 2023. REUTERS/David 'Dee' DelgadoMarch 13 (Reuters) - Shares of U.S. regional banks slumped on Monday, led by losses in First Republic Bank (FRC.N) as news of fresh financing failed to assuage bank contagion fears following the collapse of SVB Financial Group (SIVB.O) and Signature Bank (SBNY.O). The KBW regional banking index (.KRX) slipped 5.4%, and the S&P 500 banking index (.SPXBK) fell 6%. U.S. President Joe Biden vowed to do whatever was needed to address a potential banking crisis after the collapse of Silicon Valley Bank and Signature Bank. Among Wall Street lenders, Bank of America Corp (BAC.N) dropped 3.3%, Citigroup Inc (C.N) and Wells Fargo (WFC.N) slid about 6% each, while lenders in Asia and Europe plunged too.

☆ VIEW US intervenes to shore up SVB deposits, stem financial fallout
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: +10 min

March 13 (Reuters) - The U.S. government announced actions to shore up deposits and stem any broader financial fallout from the sudden collapse of tech startup-focused lender Silicon Valley Bank (SIVB.O) (SVB), sending U.S. stock futures higher. "The market turbulence sparked by SVB has upended rising market expectations on the Fed rate path. The fact that SVB and Signature Bank depositors will be made whole is critical in maintaining trust in the financial system and should help stem contagion fears this week. But it also means that 50 basis points (a possible Fed interest rate hike) is off the table." Given what's happened in the U.S. financial system, a 25 basis point hike is more likely than a 50 basis point hike."

☆ First Republic bolsters liquidity after wild weekend of bank failures
▼ + stars: | 2023-03-13 | by ( Huileng Tan | ) www.businessinsider.com time to read: +2 min

First Republic Bank said it's getting additional funding from the Federal Reserve and JPMorgan Chase. It's been a wild weekend for banks after SVB was shut down by regulators following a bank run. There are fears of contagion at regional banks such as First Republic. This funding injects $70 billion of unused liquidity into San Francisco-based First Republic, the bank said in a Sunday filing. First Republic Bank's shares fell 15% on Friday to $81.76 apiece.

☆ Wall Street is surprised by First Republic's falling stock. Here's how the bank compares to SVB
▼ + stars: | 2023-03-13 | by ( Jesse Pound | ) www.cnbc.com time to read: +6 min

FRC 1D mountain First Republic's stock was down by more than 75% at one point on Monday. The dramatic slide puzzled many Wall Street analysts, however, who still see First Republic as a strong bank even after SVB's demise. Here's a look at some of the pressure points for First Republic and how it compares to SVB. First Republic's deposit mix has likely changed in recent days, though the company has not released updated numbers. Another consideration is that First Republic's loans are largely residential real estate.

A First Republic Bank branch in New York, US, on Friday, March 10, 2023. San Francisco's First Republic shares lost 70% in premarket trading Monday after declining 33% last week. First Republic Bank led a decline in bank shares Monday that came even after regulators' extraordinary actions Sunday evening to backstop all depositors in failed Silicon Valley Bank and Signature Bank and offer additional funding to other troubled institutions. The SPDR S&P Regional Banking ETF lost 4% in premarket trading Monday following a 16% decline last week. The slide for regional bank stocks on Monday comes after a rush of withdrawals from SVB Financial forced that bank to close.

☆ First Republic tells CNBC the bank isn't seeing that many depositors leave, JPMorgan funding working
▼ + stars: | 2023-03-13 | by ( Jesse Pound | ) www.cnbc.com time to read: 1 min

First Republic Bank has been able to meet withdrawal demands on Monday with the help of additional funding from JPMorgan Chase , the bank's executive chairman told CNBC's Jim Cramer. Jim Herbert told Cramer that the bank was not seeing massive outflows of deposits and that the business was operating as usual. Herbert declined to say specifically how much had been withdrawn, Cramer said. First Republic announced Sunday it had received additional liquidity from the Federal Reserve and JPMorgan. That brought the bank's unused liquidity to $70 billion, First Republic said, before accounting for potential use of the Bank Term Loan Facility that the Fed created over the weekend.

[1/2] A person walks past the Park Avenue location of the First Republic Bank, in New York City, U.S., March 10, 2023. There were multiple trading halts on bank shares as the KBW regional banking index (.KRX) fell 5.4%, and the S&P 500 banking index (.SPXBK) dropped 6%. Hogan said each regional bank has its own exposure to different parts of the market. He added the fate of regional bank stocks will be "case by case" as investors look to see which ones could have the most negative exposure. "First Republic Bank, which has significant exposure to the coastal real estate markets appears to be next on the list".

☆ Bernie Sanders says Silicon Valley Bank's failure is the 'direct result' of a Trump-era bank regulation policy
▼ + stars: | 2023-03-13 | by ( Cheryl Teh | ) www.businessinsider.com time to read: +4 min

Sen. Bernie Sanders is blaming a Trump-era policy for the Silicon Valley Bank run. "Now is not the time for US taxpayers to bail out Silicon Valley Bank. The Federal Deposit Insurance Corporation shut down the Silicon Valley Bank on Friday following a catastrophic bank run. The collapse of Silicon Valley Bank has now become the largest bank failure in the US since the 2008 financial crisis. However, startups with money in Silicon Valley Bank exceeding $250,000 are now in danger of not being able to make payroll next week.

☆ Instant view: US intervenes to shore up SVB deposits, limit financial fallout
▼ + stars: | 2023-03-13 | by ( ) www.reuters.com time to read: +11 min

March 13 (Reuters) - The U.S. government announced actions to shore up deposits and stem any broader financial fallout from the sudden collapse of tech startup-focused lender Silicon Valley Bank (SIVB.O) (SVB), sending U.S. stock futures higher. ALVIN TAN, HEAD OF ASIA FX STRATEGY, RBC CAPITAL MARKETS, SINGAPORE:"Markets remain unsettled from the SVB failure. "The market turbulence sparked by SVB has upended rising market expectations on the Fed rate path. ANTHONY SAGLIMBENE, CHIEF MARKET STRATEGIST, AMERIPRISE FINANCIAL, TROY, MICHIGAN:"It was imperative that regulators stepped in and decisively acted before markets around the world opened for the week. GREG MCBRIDE, CHIEF FINANCIAL ANALYST, BANKRATE:"While the Fed has talked about a lot in the past year, until today it has been in the context of monetary policy.

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