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UBS has reached an agreement with the United States Department of Justice (DOJ) to settle a legacy matter from 2006-2007, related to the issuance, underwriting and sale of residential mortgage-backed securities (RMBS). UBS will pay $1.435 billion

UBS has reached an agreement with the United States Department of Justice (DOJ) to settle a legacy matter from 2006-2007, related to the issuance, underwriting and sale of residential mortgage-backed securities (RMBS). UBS will pay $1.435 billion

https://www.ubs.com/global/en/investor-relations/press-releases/overview-news-display-ndp/en-20230814-rmbs.html? UBS has reached an agreement with the United States Department of Justice (DOJ) to settle a legacy matter from 2006-2007, related to the issuance, underwriting and sale of residential mortgage-backed securities (RMBS). Under the terms of the settlement, UBS

FDIC 2023 Risk Review: "Unrealized losses present a significant risk should banks need to sell investments & realize losses to meet liquidity needs."

FDIC 2023 Risk Review: "Unrealized losses present a significant risk should banks need to sell investments & realize losses to meet liquidity needs."

In Q1 2023, unrealized losses at $515.5 billion. Also, "banking industry is increasingly exposed to the broad & varied risks from nonbank activities" source: https://www.fdic.gov/analysis/risk-review/2023-risk-review/2023-risk-review-full.pdf Agriculture: * Despite facing droughts, the agricultural sector saw record profits this year. Farm banks

Interest paid for BTFP users

As of 7/31/23 total outstanding amount of all advances under BTFP was $119,127,391,000. The total value of the collateral pledged (at PAR!!) to secure outstanding advances was $144B. $1,683,694,000 in interest to survive another day...

Bank Term Funding Program (BTFP): https://www.federalreserve.gov/releases/h41/20230810/ DateBank Term Funding Program (BTFP)Up from 3/15, 1st week of program ($ billion)3/15$11.943 billion$0 billion3/22$53.669 billion$41.723 billion3/29$64.403 billion$52.460 billion3/31$64.595

Congressman French Hill on Treasury's previous $700 million bailout of Yellow: “I think the Treasury is undercollateralized. I’ll leave it at that” Treasury owns 15.94 million shares.

Congressman French Hill on Treasury's previous $700 million bailout of Yellow: “I think the Treasury is undercollateralized. I’ll leave it at that” Treasury owns 15.94 million shares.

Is this pandemic emergency program blowing up a sign of things to come with BTFP & the collateral it accepts at PAR? Good evening, it looks like Treasury is about to be caught holding the bag on pandemic loans, could there be implications for BTFP? Let's dig in!

Inflation Alert! In July, the purchasing power of $100 in January 2000 dropped to $55.20 (-$.20 from June).

Inflation Alert! In July, the purchasing power of $100 in January 2000 dropped to $55.20 (-$.20 from June).

Recall, CPI tracks the loss of purchasing power of your dollars & thereby the purchasing power of your hard earned labor. Folks are 2.1% worse off in terms of real value over the past year! Zooming in: CPI tracks the loss of the purchasing power of your dollars, and

DTCC Notice

NSCC/OCC propose changes to keep NSCC netting for OCC.

Without NSCC, there's no netting for OCC & in January 2022, the largest gross broker-to-broker settlement amount in the case of a larger Clearing Member default would have resulted in liquidity needs of approximately $384,635,833,942 from OCC. Wut mean?: * The Existing Accord permits NSCC to

BTFP usage

BTFP usage UP AGAIN ($106.864B vs $105.684B on 8/3), marking the 10th consecutive week over $100B. This looks more and more like there's an over-reliance on Fed Funding--growing faster than inflation 'should be,' I believe the BTFP is a moral hazard!

Hello and HAPPY almost Friday Superstonk! Borrowing from the Bank Term Funding Program hit a NEW all time high--the 10th consecutive week above $100 billion! What we are monitoring: 1. Bank Term Funding Program (BTFP) 2. Discount Window/Primary Credit 3. "Other Credit Extensions" I hope to shed