Bloomberg - Evening Briefing - FDIC says pay up

Bloomberg Evening Briefing

The Federal Deposit Insurance Corp., facing almost $23 billion in costs from recent bank failures, is said to be considering steering a larger-than-usual portion of that burden to the nation’s biggest banks. The agency has said it plans to propose a so-called special assessment on the industry in May to shore up a $128 billion deposit insurance fund that’s set to take hits after the recent collapses of Silicon Valley Bank and Signature Bank. The regulator—under political pressure to spare small banks—has noted it has latitude in how it sets those fees. The KBW Regional Banking Index of 50 lenders reversed losses and rose 0.6% on Wednesday in New York after Bloomberg reported the FDIC’s internal deliberations

Here are today’s top stories

The global currency market is vulnerable to a liquidity crunch later this year as financial conditions tighten and economic growth slows, Bank of America warned. Even as the market emerged relatively unscathed from the recent banking turmoil, implied volatility in major currency pairs jumped this month. Here’s your markets wrap

The dollar has lost some of its luster. The twin supports of its status as the preferred haven during the pandemic and being backed by the world’s strongest economy are fading, Marcus Ashworth writes in Bloomberg Opinion. And now another prop for the greenback is wobbling amid doubts about how much higher the Fed will raise rates. The dollar looks likely to suffer an extended bout of weakness. And many will rejoice

Prime Minister Justin Trudeau’s plan to add billions of dollars in new annual spending has some economists worried that Canada is at risk of racking up unsustainable debt—especially if economic growth comes in worse than expected.

UBS is bringing back Sergio Ermotti as chief executive to oversee the historic acquisition of Credit Suisse, tapping a Swiss insider with extensive restructuring experience to replace Ralph Hamers after just over two years. 

Newly appointed UBS CEO Sergio Ermotti appeared at a press conference in Zurich Wednesday. He spent nine years restoring UBS's reputation after its bailout by the Swiss government during the 2008 global financial crisis. Photographer: Arnd Wiegmann/AFP

When Vladimir Putin said he would put short-range, tactical nuclear weapons in Belarus, NATO officials said it wouldn’t change the pact’s nuclear posture. But on Wednesday, a Kremlin official reportedly said Russia would no longer notify the US of any planned tests of its intercontinental ballistic missiles. Such communications were put in place to avoid one side mistakenly interpreting a test as a nuclear attack, triggering retaliation. On the ground in Ukraine, Russia is bracing for an expected counteroffensive. But Putin’s drive to expand his armed forces is adding to labor shortages at home. Government data suggest a net increase in the military last year of approximately 400,000 amid already record-low unemployment, Bloomberg Economics estimates. Here’s the most recent news on the war.

Everybody is talking about the artificial intelligence behind ChatGPT. Less noticed is a jobs market mushrooming around the technology, where these newly created roles can pay upwards of $335,000 a year. And for many a computer engineering degree is optional. 

Healthy children and adolescents may no longer need Covid shots, the  World Health Organization said, updating its guidance on vaccines as the world adjusts to living permanently with the virus. But older people and other higher-risk groups, including those with underlying conditions, should get Covid boosters between six and 12 months after their last injections, the WHO said in a statement announcing a revised vaccine road map for the new stage of the pandemic. 

Bloomberg continues to track the global coronavirus pandemic. Click here for daily updates.

What you’ll need to know tomorrow

Champagne Outperforms Gold and the S&P 500

The finest bottles of champagne aren’t just a delight to sip, they’re also pouring out heady returns. And as the market bubbled ever higher in 2021 and 2022, speculators pounced. For example, a case of all-Chardonnay 2012 Salon Le Mesnil recently soared 232% from £3,800 to £12,600 ($4,670 to $15,485), according to Liv-Ex, the London International Vintners Exchange. The Liv-Ex Champagne 50 Index, which tracks the price performance for recent vintages of a dozen top brands, was a runaway star, outperforming gold, the FTSE, and the S&P 500, as well as the Bordeaux First Growths and even Burgundy.

Key phrases

Older messages

Rate cuts? Forget it

Tuesday, March 28, 2023

Bloomberg Evening Briefing View in browser Bloomberg Anyone out there betting the US Federal Reserve will actually cut rates this year has got it very wrong, says BlackRock. The world's biggest

Cracks in a $7 trillion empire

Monday, March 27, 2023

Bloomberg Evening Briefing View in browser Bloomberg On the surface, Charles Schwab being swept up in the wave of recent financial meltdowns makes little sense. The firm, a half-century mainstay in the

The economy of uncertainty

Saturday, March 25, 2023

Bloomberg Weekend Reading View in browser Bloomberg The US Federal Reserve's job has gotten a lot tougher of late what with the fight against inflation now bumping up against fears of exacerbating

‘Irrational’ investors

Friday, March 24, 2023

Bloomberg Evening Briefing View in browser Bloomberg The lightning-fast banking crisis has in two weeks claimed three mid-sized US banks, took a chunk out of a fourth and sent Credit Suisse into the

Yellen changes her tune

Thursday, March 23, 2023

Bloomberg Evening Briefing View in browser Bloomberg US Treasury Secretary Janet Yellen had a slightly different story Thursday when it came to the ongoing debate over insuring bank deposits beyond the

Want to unlock your home’s hidden value?

Friday, June 2, 2023

You may be sitting on more equity than you think — find out more today ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌ ͏‌

Creating a Monster

Friday, June 2, 2023

When innovation goes wrong ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

Wall Street: A once-in-a-lifetime deal

Friday, June 2, 2023

The latest in finance. View in browser INSIDER INSIDER Subscribe 10 THINGS ON WALL STREET The weekend is here! Dan DeFrancesco in NYC, and I'm disappointed Prison Mike didn't give me a heads up

Mystery mass-fainting epidemic

Friday, June 2, 2023

Plus: Putin is reportedly terrified, and slang terms you'll only hear in prison. View in browser Subscribe June 2, 2023 Hello, Insiders. Jack Sommers, senior editor in the UK, here. Hundreds of

AI sweeps Wall Street

Thursday, June 1, 2023

Bloomberg Evening Briefing View in browser Bloomberg Deutsche Bank is using artificial intelligence to scan wealthy client portfolios. ING Group is screening for potential defaulters. JPMorgan is

⚡️ Energy overdrive

Thursday, June 1, 2023

The US isn't so keen on Swiss watches | Energy's set for a bumper year | TOGETHER WITH Hi Reader, here's what you need to know for June 2nd in 3:13 minutes. 💚 Green is the new gold. So

Musk's lavish China visit

Thursday, June 1, 2023

Plus: Six cities getting more expensive, and the 'new predators in higher education.' View in browser Subscribe June 1, 2023 Hello, Insiders. Hallam Bullock, an editor on Insider's audience

Wall Street: Jamie Dimon for president?

Thursday, June 1, 2023

The latest in finance. View in browser INSIDER INSIDER Subscribe 10 THINGS ON WALL STREET Hey there! Dan DeFrancesco in NYC. I don't care what TikTok says, I'm not going to to stop eating raw

[New post] What can we learn about monetary policy transmission using international industry-panel data?

Thursday, June 1, 2023

BankUnderground posted: " Sangyup Choi, Tim Willems and Seung Yong Yoo How does monetary policy really affect the real economy? What kinds of firms or industries are more sensitive to changes in

New Global Orders - Issue #418

Thursday, June 1, 2023

We're witnessing many revolutions. June 01, 2023 It seems that we're currently living another revolution – or many. From a financial, economic and geopolitical perspective, it looks like we