Senate Majority Leader Chuck Schumer (D-N.Y.) called on House Republicans to detail the proposed spending cuts that they would require in order to agree to raise the federal debt ceiling, saying that Democrats are ready to “move quickly” well in advance of the expected default date. In remarks on the Senate floor, Schumer called the GOP strategy “dangerous” and “destabilizing” and said Republicans have “an obligation” to show the public whether their proposed cuts include programs such as “Social Security or Medicare or child care or Pell Grants.” (The Hill)
Goldman Sachs Group Inc. and Mastercard Inc. are teaming with New York City to create a $75 million fund to offer businesses in the city with less than $5 million in revenue loans ranging from $2,000 to $250,000 at a fixed below-market interest rate of 4%. Goldman Sachs will provide about $50 million to the NYC Small Business Opportunity Fund, the largest public-private fund for small businesses in the city’s history. (Bloomberg)
President Joe Biden nominated Ron Borzekowski to be the director of the Office of Financial Research in the Treasury Department, a position that has been filled on an acting basis for almost a year. Borzekowski, the executive director of the Data-Intensive Social Science Center at Yale University, previously led the Consumer Financial Protection Bureau’s Office of Research and filled a critical agency role on the Financial Stability Oversight Council. (Politico Pro)
Kansas City Federal Reserve President Esther George said in an interview that the Fed should formulate a plan to divest its $2.6 trillion in mortgage-backed securities “earlier than later,” noting that while banking officials agree on the need to focus the Fed’s portfolio only on Treasury-issued assets, they do not yet have a plan in place to get there. George described the Fed’s current holdings, which represent about a quarter of the total mortgage-backed securities market and a sizable portion of the Fed’s own $8 trillion securities portfolio, as “enormous,” raising questions about the appropriate role of the Fed in the mortgage-backed securities market. (Reuters)
Acting Comptroller of the Currency Michael Hsu will join a panel discussion on crypto assets and cybersecurity at the Institute for Law and Finance.
Bloomberg Finance LP, founded by former New York mayor and once-presidential candidate Michael Bloomberg, paid $5 million to settle civil charges over misleading disclosures. The company failed to disclose methodologies used to value certain fixed-income securities to users of BVAL, its paid subscription service.
Employers are shedding temporary workers at a fast rate, a sign that broader job losses could be on the horizon. In the last five months of 2022, employers cut 110,800 temp workers, including 35,000 in December, the largest monthly drop since early 2021.
President Biden will deliver a major economic speech this week spotlighting fringe economic proposals championed by House Republicans — including a controversial bill to abolish the IRS and replace it with a 30% national sales tax.
U.S. Sens. Mark Warner (D-VA) and Mike Crapo (R-ID) are urging the U.S. Department of Treasury to consider all comments received in response to the Community Development Financial Institution (CDFI) application and Annual Certification and Data Collection Report (ACR).
U.S. Reps. Brad Finstad (R-MN) and Thomas Massie (R-KY) are among a group of House Republican lawmakers sponsoring a bill that would direct the U.S. Government Accountability Office (GAO) to conduct an examination of the Federal Reserve Board and the Federal Reserve banks.
Wealthy savers are starting to take their cash out of bank accounts in search of higher yields. Big banks are still paying paltry interest on checking and savings accounts despite the Federal Reserve’s steepest rate increases in decades.
The share of bank finance going to renewable energy rather than fossil fuels has little changed in six years, raising questions about how fast lenders are pushing energy clients to become greener, according to research published Tuesday.
Say Technologies, a Robinhood subsidiary, is launching a new messaging feature that enables public companies to send tailored communications directly to retail investors within its network, and allows them to respond.
Dave Michaels and Peter Rudegeair, The Wall Street Journal
Crypto companies seeking to go public over the past year have faced increased scrutiny from the Securities and Exchange Commission, as financial distress and failures spread across the volatile industry.
Coinstar LLC, the Apollo Global Management-backed company known for kiosks that swap coins for cash, and a group of its creditors have tapped advisers to explore options ahead of fast-approaching amortization payments, according to people with knowledge of the matter.
SEC’s Commissioner Hester Pierce points out loopholes in the popular Howey’s test used to classify assets as securities. Disgruntled with the back and forths in the regulatory framework, she calls for actual positive movements in the digital asset space.
The U.S. Supreme Court on Monday threw out a case about the scope of attorney-client privilege involving a law firm’s bid to withhold records from prosecutors related to a cryptocurrency-promoting client in a tax investigation.
In March 2011 Erskine Bowles and Alan Simpson, chairs of a White House deficit-reduction commission, issued a frightening warning about U.S. government debt. Unless America took major steps to rein in future deficits, they warned, a fiscal crisis could be expected within around two years.
You know my theory: Every bad thing that a public company does is also securities fraud. If there is a data breach or sexual harassment or animal mistreatment or pollution at a company, and the public finds out about it and the stock goes down, then someone will sue the company, arguing that it defrauded shareholders by leading them to believe that there wouldn’t be a data breach or sexual harassment or whatever.