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Some banks have been buying longer-term bonds to boost profits in a low-interest rate environment, sparking fears their profits will be squeezed when the Federal Reserve eventually starts to hike rates.Banks are drawn to bonds maturing years in the future because the securities pay more interest than shorter-term debt. But rising rates will give banks higher funding costs, without necessarily giving the same lift to the income from all their assets, squeezing profits.The lenders that could get hit hardest by higher rates are smaller community banks and mid-size regional lenders, analysts say. These banks generally have low income from fees and no real earnings from investment banking, relying mostly on income from lending and their growing bond portfolios.Jeremy Stein, a member of the Federal Reserve's powerful board of governors, recently warned in a speech that low interest rates may have quietly contributed to banks taking more risk "below-the-radar.""The added interest rate exposur...
FBN’s market experts with the stories moving the markets around the world.
Metro Bank founder Vernon Hill argues the British banking climate is more pro-business than in the U.S.
Global Commerce Bank of Doraville, Georgia has been closed by the Georgia Department of Banking and Finance, the Federal Deposit Insurance Corp. said late Friday. It...
Regulators closed four more banks in the U.S. Friday, raising the nationwide tally of failures so far in 2012 to seven, according to the Federal Deposit Insurance Co...
Banks are closing and auctioning off branches. Bankers are pilloried, in the whole western world, by class warfare reminiscent of Hamilton/Jefferson or FDR/Pecora. U...
We are seeing a buildup of troops in the Middle East . Yes, a buildup, not a reduction. The buildup is occurring to keep a presence in the region, following our exit...
U.S. regulators closed two Georgia banks on Friday, bringing the total number of closures this year to 70.The Federal Deposit Insurance Corp announced that the depos...
This list shows the U.S. banks that have failed since the beginning of the year, and is updated weekly.Most of the banks are acquired, and the cost to the Deposit In...
This list shows the U.S. banks that have failed since the beginning of the year, and is updated weekly.Most of the banks are acquired, and the cost to the Deposit In...
FBN's Peter Barnes on the Chamber of Commerce holding its Capital Markets Summit, and the Financial Protection Bureau being targeted for criticism there.
LIMA -(Dow Jones)- Peru's Superintendent of Banking and Insurance on Friday said that the Industrial and Commerce Bank of China Limited (1398.HK) has asked for permi...
As has been the case with many of the laws passed by Congress recently, the financial regulation law is hurting consumers more than helping them.Yesterday we told yo...
FBN’s Diane Macedo breaks down the stories moving the markets around the world.
FBN’s Diane Macedo breaks down the stories moving the markets around the world.
FBN’s Diane Macedo breaks down the stories moving the markets around the world.
The U.S. Federal Reserve on Friday named the banks that borrowed at its discount window during the third quarter of 2010 but the period showed limited activity and n...
FBN’s Rich Edson on the FSOC discussing efforts to support the reform of money market funds.
FBN’s Robert Gray breaks down the stories moving the markets around the world.
FBN’s Diane Macedo breaks down the stories moving the markets around the world.
