Tag Archives: federal reserve

The rise in gold prices has been attributed to mounting speculation about the United States Federal Reserve’s future policy following the release of jobs data. The total market capitalization of tokenized gold has surpassed $1 billion. CoinGecko data places it at $1.02 billion, up 2.3% over the past 24 hours, with a trading volume of $35,508,696 over the same period. The largest gainers are PAX Gold and Tether Gold with gains of 2.7% and 1.9% respectively. Both are currently trading over...

The latest jobless claims indicate that the US labor market is tight amid rising interest rates as applications rose by 7,000. According to the Labor Department, US weekly jobless claims have climbed to 198,000, representing an increase of 7,000. Although the new figure is slightly higher than the 195,000 expected, it is still generally low in a tight labor market. The Department of Labor also reported a four-week moving average of weekly claims amounting to 198,250. This figure...

Since the collapse of Silicon Valley Bank, several industry stakeholders have been doing all they can to help cushion the pangs in the firm to help prevent it from collapsing. Regional banks in the United States might have recorded their worst month ever this March, the surviving ones, including First Republic Bank (NYSE: FRC). At the time of writing, the shares of First Republic have jumped by 15.72% to $14.28 in a move that appears as though it wants to start paring off the losses it has...

The cryptocurrency space rejoiced recently when several large US banks halted services, and the FDIC, as well as other regulators, had to intervene to stop the contagion. However, the crisis expanded to Europe this week, with two of the most prominent names facing significant problems. Credit Suisse was acquired by the largest Swiss bank – UBS, for almost $3.3 billion, which was more than 60% less than what the former was worth days ago. This propelled another leg up in terms...

Irrespective of its current leanings, the Federal Reserve will implement additional rate hikes to correct the strain that is still being felt in the economy by the average consumer. The United States Federal Reserve through the Open Market Committee (FOMC) has increased its interest rate by 25 basis points (0.25%). The rate hike was as expected and it was implemented despite the recent bank failures that have caused a crisis of confidence in the financial sector. The days leading up to...

Sweden’s largest pension fund Alecta dumped its First Republic Bank stake at a $728 million loss amid broader US banking losses.  Swedish pension fund Alecta recently offloaded its First Republic Bank (NYSE: FRC) shares following the latter’s massive drawdown. The leading Swedish pension fund was the fifth-largest shareholder at the embattled bank but now appears to have lost faith in First Republic. According to Alecta CEO Magnus Billing, uncertainty regarding the future of First Republic...

Former Richmond Federal Reserve President Jeffrey Lacker believes the Fed should – and will – remain firm in hiking interest rates at its upcoming March meeting, and subsequent meetings thereafter. Despite a series of bank failures this month that was partly induced by rising rates, the ex-chair believes more will be necessary to combat inflation. The Inflation Fight Continues In an interview with Andrew Sorkin from Squawk Box, Lacker said that the Fed should “go ahead with a...

The FDIC and Fed are looking for ways the US government can guarantee all bank deposits amounting to $17 trillion should the financial turmoil worsen. The US government is considering ways to guarantee bank deposits if the current banking crisis worsens. According to reports, the Federal Deposit Insurance Corporation (FDIC) and Federal Reserve are exploring a potential guarantee of all US bank deposits. Officials from both parastatals embarked on this scheme on advice from a banking...

Strike CEO Jack Mallers believes Bitcoin is primed to pump following the Federal Reserve’s $300 billion injection into the banking sector last week.  Mallers predicts that the US dollar is entering a new era of persistently high inflation, which will only benefit Bitcoin.  Is Higher Inflation Inevitable? Speaking with CNBC, co-anchor Kelly Evans asked the CEO why people should expect Bitcoin to moonshot following a banking crisis, the likes of which have historically been...

The cryptocurrency exchange BitMEX outlined some possible scenarios that could unfold in the coming months for the cryptocurrency industry. It believes the Federal Reserve will most probably cease its interest rate hikes by the end of the year, triggering a flow of funds into global capital markets and risk-off assets. Cryptocurrencies, such as bitcoin and ether, could benefit in such cases. Scenario #1 According to BitMEX, the US Federal Reserve will most likely slow the...