This article reports that rising interest rates are squeezing Chicago, Illinois-area banks, as intense competition prevents them from passing the higher rates along to business borrowers. The short-term ...
Most banks have a two-tier pricing system, offering accounts at market-related interest rates and at posted rates that are changed at discrete intervals. In this paper, I develop a model of bank interest rate management. I consider a bank with two classes of loans and deposits in its balanc...
Interest rate swaps let parties exchange future interest payments, typically by exchanging a fixed rate for a floating rate, to manage risk or bet on whether rates will rise or fall. The case is part of more than a decade of litigation in Manhattan accusing big banks of col...
After a prolonged period of high inflation — and interest rates — banks in the region are starting to navigate the global trend of lower rates. They're also facing technological innovation that has the potential totransform the sector, as generative AI gains traction around...
摘要: Reports on the increase in interest rates in the first half of 1996, in the Chicago, Illinois area. Comments from Dana Johnson, head of research for First Chicago Capital Markets Incorporated; Increase in the demand for consumer credit; Information on home-buyer statistics.年份: 1996 ...
“In principle, we won’t have to raise the rates quite as high as we would have had this not happened,” Powell said. Also Monday, Austan Goolsbee, president of the Federal Reserve Bank of Chicago, said he is hearing from business contacts that banks are starting to rein in lend...
Regarding inflation in bank nominal interest rates and asset valuations, Smith et al. (2003) argued that there are spillover effects. The higher the inflation rate, the higher the nominal interest rate. This will increase banks’ interest in lending. Therefore, the sign of the coefficient of ...
Goss and Roberts (2011) look at the interest rates banks charge their clients; they find that clients with greater CSR concerns ultimately pay 7–18 basis points more than clients without CSR concerns, suggesting that banks should be able to influence non-bank behaviors. However, in this area...
It's been a tough year for the financial services industry. Higher interest rates have cut into banks' bottom lines. The unemployment rate has remained near historic lows, making it difficult to recruit and retain talent. And a banking crisis led to three of the four largest bank failures ...
The Federal Reserve Bank acts as the U.S. central bank. It regulates the financial market, controls money supply, sets interest rates, supervises commercial banks, influences monetary policies and issues currency. What is the difference between a Federal Reserve Bank and a bank?