Banking Crisis 2023

First Citizens BancShares in North Carolina has entered into a purchase and assumption agreement for all deposits and loans of the failed bank, according to the Federal Deposit Insurance Corp. About $90 billion of securities and other assets will remain in receivership.

The use of the Federal Reserve's emergency lending facilities was largely unchanged this week, indicating to some that the recent liquidity crisis isn't getting any worse.

A long-dormant executive compensation rule required by Dodd-Frank is a more promising means of achieving President Biden's call for consequences for the executives of failed banks than legislation, experts say.

Sen. Tim Scott, R-S.C., and others on the Banking Committee have requested CAMELS scores for the failed bank and various other supervisory information from the Fed.

A letter from U.K. regulators threatening to close risky companies is an example of how governments are pressuring firms that manage cash flow and fraud risk.

Net interest margin, a key earnings metric, had been rising across the industry in recent quarters. Now it could suffer at the megabanks that have gained customers amid the turmoil of the last two weeks.

Treasury Secretary Janet Yellen repeated her comment from a day earlier that the government's recent actions were "taken to ensure that Americans' deposits are safe." She sought to clarify it with a new line: "Certainly, we would be prepared to take additional actions if warranted."

Organizations must have fully-staffed internal controls to manage risk and ensure regulations are properly followed.

House Financial Services Committee Chairman Patrick McHenry, R-N.C., and Rep. French Hill, R-Ark., asked Treasury Secretary Janet Yellen how a systemic risk determination was made on Silicon Valley Bank and Signature Bank.

The Federal Reserve wants a smaller balance sheet to help rein in inflation. But uncertainty in the banking system is pushing it in the opposite direction.