Regulators on the road:

Acting Comptroller of the Currency Michael J. Hsu will take part in a fireside chat Wednesday at the FDX Global Summit Spring 2023.

Commodity Futures Trading Commission Chairman Rostin Behnam joins the Bipartisan Policy Center for a Thursday event titled, “What’s the Federal Role in Improving Carbon Credits?” 

Hearings of note:

Securities and Exchange Commission Chair Gary Gensler will testify in an oversight hearing before the House Financial Services Committee on Tuesday. 

Internal Revenue Service Commissioner Daniel Werfel will testify in a budget hearing before the Senate Finance Committee on Wednesday. 

Housing and Urban Development Secretary Marcia Fudge will testify in a budget hearing before the House Appropriations Committee on Tuesday, and again before the Senate Appropriations Committee on Thursday.

Education Secretary Miguel Cardona will testify in a budget hearing before the House Appropriations Committee on Tuesday morning, and Commerce Secretary Gina Raimondo follows Tuesday afternoon.

The Senate Banking Committee will hold a hearing Tuesday to consider the nominations of Jared Bernstein as chairman of the Council of Economic Advisers, Ron Borzekowski as director of financial research at the Treasury Department, and Solomon Jeffrey Greene and David Uejio as assistant secretaries at HUD. 

Fedspeak roundup: 

Richmond Fed President Thomas Barkin will give remarks at a Richmond Association for Business Economics event Monday. 

Fed Governor Michelle Bowman joins the Georgetown University McDonough School of Business on Tuesday for an event on central bank digital currencies. Bowman and Dallas Fed President Lorie Logan will appear at a Dallas Fed in Odessa, Texas, on Thursday. 

New York Fed President John Williams will speak at a Money Marketeers of New York University dinner on Wednesday. 

Fed Governor Christopher Waller heads to the University of South Florida Sarasota-Manatee on Thursday to discuss cryptocurrency and central banks at the Cryptocurrency and the Future of Global Finance conference. 

Cleveland Fed President Loretta Mester will speak on the economic and policy outlook Thursday at the Akron Roundtable Signature Series.

Atlanta Fed President Raphael Bostic will take part in an armchair discussion on regional and national economic conditions at Eastern Florida State College on Thursday.

Fed Governor Lisa Cook gives the Carroll Round Keynote Speech at Georgetown University on Friday. 

Bank earnings continue:

Goldman Sachs Group Inc. and Bank of America Corp. release quarterly results on Tuesday, with Morgan Stanley reporting results Wednesday.

Bank earnings land with major oomph

• JPMorgan Chase & Co. reported first-quarter profit of $12.62 billion, up 52% compared to the same period last year, while revenue jumped 25% to $39.34 billion, thanks to a 49% increase in net interest income fueled by higher interest rates. (CNBC) 
• Wells Fargo & Co.’s first-quarter earnings also benefited from higher interest rates, as the bank saw a 45% year-over-year increase in net interest income that helped drive total revenue to $20.73 billion, a 17% jump. (Reuters)
• Several of the large U.S. banks that vowed to contribute a combined $30 billion in deposits to shore up the faltering First Republic Bank are setting aside additional reserves of about $100 million each, people with knowledge of the matter said. (Bloomberg)

McCarthy and GOP prep debt ceiling plan

• House Speaker Kevin McCarthy (R-Calif.) is planning to unveil a plan this week to suspend the federal debt ceiling until May 2024 in exchange for a variety of federal spending cuts, as well as a measure that would keep non-defense discretionary spending flat this year and increase spending by 1% per year over the next 10 years, according to people familiar with the talks. (Bloomberg) 
• The 70-member House GOP Main Street Caucus provided McCarthy with a list of spending-cut goals, including clawing back unspent COVID-19 funds, ending the student loan repayment pause, increasing the requirements to qualify for food assistance, keeping non-defense discretionary spending flat this year while increasing it at a rate of 1.5% over the next 10 years, and proposing solutions to increase the “sustainability” of Medicare and Social Security. (The Hill) 

High Court holds up ruling in $6 billion student loan class action suit

• The Supreme Court declined to intervene on a decision to allow the federal government to forgive the loans for student borrowers who attended schools accused of “substantial misconduct,” in a case that could result in the forgiveness of more than $6 billion in student loan debt. (NBC News) 

White House launches grant program for community lenders

• Vice President Kamala Harris announced that the Treasury Department’s Community Development Financial Institutions Fund will provide $1.7 billion in grants for more than 600 community lenders to support communities rebounding from the COVID-19 pandemic. (The Hill) 

FOMC minutes warn of mild recession as inflation slows 

• Federal Reserve officials said that recent banking sector turmoil could push the United States into a “mild” recession later this year, according to minutes from the Federal Open Market Committee’s March 21-22 meeting, during which officials also projected that the U.S. economy would keep growing and noted that it is too soon to tell how much banks will tighten lending. According to data from the Bureau of Labor Statistics, inflation slowed last month, rising 5% for the year ending in March, down from a rate of 6% in the prior month and the smallest year-over-year increase since May 2021. (The Washington Post)

16%

The share of opposite-sex marriages in the United States. where women are the sole or primary breadwinner, a record high according to new data from the Pew Research Center. Women now make as much or more than their husbands in almost half of marriages.  

1) See the fastest growing (and shrinking) U.S. states

Alex Fitzpatrick and Kavya Beheraj, Axios

2) Ranked: The U.S. Banks With the Most Uninsured Deposits

Dorothy Neufeld, Visual Capitalist

3) Harris announces $1.7B in grants for more than 600 community lenders 

 Lauren Sforza, The Hill

4) Banks Are Closing Customer Accounts, With Little Explanation

 Tara Siegel Bernard and Ron Lieber, The New York Times

5) Is your cash safe in digital wallets? CFPB chief says more regulation needed 

Nick Robertson, The Hill

6) What It Takes to Be Middle Class in America’s Largest Cities – 2023 Study

Patrick Villanova, SmartAsset

7) Lawmakers Trade Bank Stocks While Working on U.S. Bank-Failure Fallout

 Rebecca Ballhaus, The Wall Street Journal

8) Big Banks That Shored Up First Republic Pushed to Boost Reserves

Sridhar Natarajan et al., Bloomberg

9) Biden’s Biased Housing Bias Rule

Editorial Board, The Wall Street Journal

10) US Bank Lending Slumps by Most on Record in Final Weeks of March

Alex Tanzi, Bloomberg

• Cash App founder, murder suspect were out with friends, clashed before killing, source says (Los Angeles Times)
• Is your cash safe in digital wallets? CFPB chief says more regulation needed (The Hill)
• Top Fed Official Plays Down Divergent Rate Outlook With Investors (The Wall Street Journal)
• Fed Officials Signal Divide Over Whether to Hike Rates Again (Bloomberg)
• FDIC Official Says Agency Was Slow to Sell Failed SVB (The Wall Street Journal)
• FDIC Vice Chair Hill says tailoring rules didn’t spur bank failures (American Banker)
• White House’s Brainard says banks need to show they are managing risks effectively (Reuters)
• Goldman Sachs Paying $15 Million to Settle Investigation of Swaps Business (The Wall Street Journal)
• Yellen to meet with global regulators on banking turmoil (Politico)
• Bank Volatility to Cut U.S. Economic Growth, IMF Says (The Wall Street Journal)
• White House Works to Satisfy Senate Democrats in Fed Vice Chair Search (The Wall Street Journal)