Economy

A House Republican tax proposal that infuriated housing groups and sent homebuilder stocks sliding would only have a modest impact on the market for new homes and could end up being a net positive for the industry, according to Keefe, Bruyette & Woods analysts.

The Federal Housing Finance Agency must set fees equal to the cost of capital that private banks hold against similar risk, not just the amount of capital that Fannie and Freddie think are right for themselves.

Top banking executives called the Republican tax plan an important first step toward tax reform and economic stimulus, but questions immediately arose about whether trade-offs and complexities in the bill would undercut it.

Hopes that tax reform might soften a weakening of the mortgage interest deduction were quickly dashed as the GOP plan landed a double punch on the incentive cherished by the mortgage and housing industries.

CapStar Financial is suing an investor on claims he misled other shareholders and is trying to skirt bank holding company laws.

Fannie Mae servicers are facing pressure from the recent hurricanes, but so far are bearing up under the strain.

Discussions on a regulatory relief package between the top Democrat and Republican on the Senate Banking Committee broke down late Tuesday, but members from both parties remain hopeful they can reach a bipartisan deal.

Mark Calabria, the chief economic adviser to Vice President Mike Pence, said the administration is focused for now on more pressing issues than GSE reform, including addressing housing damage from recent hurricanes.

Discussions on a regulatory relief package between the top Democrat and Republican on the Senate Banking Committee broke down late Tuesday, but members from both parties remain hopeful they can reach a bipartisan deal.

As more startups turn to initial coin offerings to raise capital, financial institutions will seek reassurance that their blockchain and other fintech partners are aboveboard.

A securities settlement, portfolio asset sales and greater interest among smaller lenders helped Freddie Mac compensate for potential losses from the catastrophic hurricane season.

While increasing de novo activity is encouraging, the processes of chartering a bank and applying for deposit insurance are more onerous, lengthy and costly than they need to be.

Home equity lines could double over the next six years. Some banks are actively pursuing the consumer credit opportunity, whereas many still feel stung by the housing crisis, unimpressed by home equity’s comeback so far or fearful of nonbank competition and fraud.

It's been a decent year for banks, especially given the industry's return on assets hit a 10-year high. But there are signs it might not last. With Halloween near, here is a look at some potentially frightening developments that could keep bankers up at night.

It's tough to be a bank director these days, as the public and elected officials hold the board responsible for misdeeds that occur on their watch. Turnover is up, and filling the seats is more of a challenge than ever.

Momentum is building to replace the hard-target $50 billion asset systemic risk threshold for banks with an indicator test, but it remains unclear whether it will be enough to get Congress to act.

The Alabama bank's provision for loan losses rose 59%, but it still reported an 8% increase in 3Q profits thanks to stronger margins and fee income.

Many institutions have delayed planning for a big change to reserve accounting despite a belief that they should start testing systems and methodologies next year.

More people are making a case for regulators to step in, saying banks’ lack of leadership diversity is a risk that they have failed to resolve on their own. There is one very surprising thing about the recent wave of sexual harassment allegations. What kind of program will help women advance? The answer might be one that is for the men.

If Congress changes the $50 billion-asset threshold for systemically important financial institutions, big banks could take it as a signal that regulators would be amenable to larger deals.