Good Morning. I'm Jason Ma, writing to you from Los Angeles. Between fighting inflation or the bank crisis, the Federal Reserve leaned toward the former. Not only did policymakers raise rates by another quarter point, dashing some hopes for a pause in tightening, the so-called dot plot of their forecasts indicated another increase is coming later this year.
There is a crucial Fed decision looming today. It's the next big input for markets after weeks of turmoil that saw three US banks fail and a large European bank taken over in an emergency deal brokered by the government and regulators. All that while inflation is hovering at 6% on an annual basis here at home.
Happy Saturday readers. I'm Phil Rosen. "Happy" is used loosely here, as the past week has been defined by chaos and uncertainty across the banking system.
This week felt like the longest month ever. Phil Rosen here — who knew you could age so precipitously in so few calendar days?
Can you believe it's only Thursday? Phil Rosen here. The sheer volume of financial news this week is enough to fill a very thick book — but if it's okay with you, today we'll keep it to a single newsletter.
One thing I'm thinking about this morning: Elon Musk said he sees similarities between the Silicon Valley Bank collapse and the 1929 Wall Street crash.
Howdy team. Senior reporter Phil Rosen here.
Everyday now we've been talking about Silicon Valley Bank — SVB — and I've had to catch myself several times from saying SBF — Sam Bankman-Fried — the guy behind the other big financial collapse in recent months.
Good morning. I'm senior reporter Phil Rosen.
As regional bank stocks tanked yesterday, contagion remains top of mind, and commentators are warning of more risks to the financial sector.
Phew. Hey there. Senior reporter Phil Rosen here. Before we jump into the newsletter, the Silicon Valley Bank saga is continuing to unfold, so let's quickly break down the latest.
Gooood morning readers! I'm Phil Rosen. On tap today we've got a great interview with a top real estate economist and this week's best markets stories, including updates on the Silicon Valley Bank meltdown.
Before we get to that — who do you think I should speak to next?
Good morning readers. Phil Rosen here. It's jobs day today.
If the reading comes in too hot, the Fed's going to have even more ammunition to push interest rates higher in the coming months — and every move higher tightens the screws on the economy even more, ramping up risk of a recession.