Trevor Schmitt’s Post

https://lnkd.in/dXmP5Nq2 The recent revelation of Bank of America's unrealized losses of a staggering $131.6 billion on securities is a flashing red warning signal in the world of finance. While it may be tempting to downplay these losses as "paper losses," we must recognize that these are not mere numbers on a spreadsheet. The eerie resemblance to the 2008 financial crisis and the Silicon Valley Bank's collapse should send shivers down our spines. Bank of America's insistence that they won't incur actual losses in the long term may lull some into complacency, but the parallels are too strong to ignore. Let's not forget that JPMorgan Chase and Citigroup are also grappling with massive unrealized losses. The looming specter of $650 billion in unrealized losses across U.S. banks paints a grim picture of the financial sector. investors and other finance professionals must remain vigilant and demand transparency and accountability from financial institutions. The next economic storm might be closer than we think, and we should be prepared to weather it. #Finance #Banking #EconomicCrisis #Transparency

The last time American finance was operating in a high-inflation, high-interest rate environment, like the current economy, was nearly 40 years ago. That means most current executives, who came up in the era of easy money, are unfamiliar with the complexities of running a bank under today’s conditions. As the top brass at financial institutions start to accept that interest rates will likely be higher for longer, they’re scrambling to find leaders with the skills to succeed in such an unpredictable environment. Some CEOs are deciding that they need to make drastic, expensive and often unpopular institutional changes to help them keep up. Read the full story at https://lnkd.in/eGpj29zs #bankingindustry #markets #future

JPMorgan Chase & Co., executives at Bank of America, Citi., and Wells Fargo said consumer spending "remains strong, underlying growth was "very strong" across their business, and all predict the USA is headed for a “soft landing” coming out of the recession.   But Edward Jones analyst James Shanahan described these financial institutions' actual business results as a "noisy" and "pretty soft across the board" quarter for the banks that reported on Friday.   Read this Morningstar article for more interesting information. #mondaymotivation #markettrends #marketwatch #forecasting #consumerspending

CNBC’s Leslie Picker previews her exclusive interview with JPMorgan Chase Chairman & CEO Jamie Dimon. Dimon will discuss the state of the banking industry, the Fed, the economy, and more. Watch live at 12pm ET on CNBC. #economy #banking #ceo

LIVE: Global bank CEOs testify before US Congress The chief executives for the nation's eight largest banks will testify before the US Senate Banking Committee, where they will face questions about their business and hiring practices, support for the US economy, and other matters. The Committee's Democratic chair Sherrod Brown has alleged that banks ‘reward corporations that raise prices on Americans.’ Congress convenes the CEOs as part of its annual oversight of Wall Street firms. The bank CEOs scheduled to testify are: Jamie Dimon, CEO of JPMorgan Chase Brian Moynihan, CEO of Bank of America Jane Fraser, CEO of Citigroup Charlie Scharf, CEO of Wells Fargo David Solomon, CEO of Goldman Sachs James Gorman, CEO of Morgan Stanley Robin Vince, CEO of Bank Of New York Mellon Ronald O’hanley, CEO of State Street #BankingCommittee #Bank #banking #USA #JPMorganChase #BankofAmerica #Citigroup #WellsFargo #GoldmanSachs #MorganStanley…

Interesting take on the current financial environment... As the top brass at financial institutions start to accept that interest rates will likely be higher for longer, they’re scrambling to find leaders with the skills to succeed in such an unpredictable environment. Some CEOs are deciding that they need to make drastic, expensive and often unpopular institutional changes to help them keep up. Prior to the current interest rate hikes, banks had been operating with low-interest, stable rates for nearly two decades, he said. That’s a really friendly environment. “Now the seas are stormy and a lot of people aren’t used to managing in that sort of environment, yet alone leading,” said Schiff. “In order to create more accountability around what’s going on, CEOs want less layers of management and a deeper line of sight.” This is new territory for the majority of bankers, said Schiff, and now bank leadership is acknowledging that the environment has fundamentally changed.

Very Powerful Forces v. Ancient Blessings: Suggestions (Part I) JPMorgan Chase & Co. CEO Jamie Dimon's warning of “very powerful forces” attacking rings true. (#Ovadyah 1:8) But against a house of fire and a house of flame, ... these very powerful forces have already been wrestled into submission, like so much stubble and ash. (#Yeshayah 21:11) Not as entertaining as WWE wrestling, shaving and the like ... but better than #WWIII wouldn't you say, in the nick of time? Like a non-fiction novel unfinished, and light concealed in plain sight from days ancient, ... (#Beresheet 25:27) peace be upon us, without fear of anything but FEAR. For a global economy that evolves upright with an unbreakable foundation, to the delight of the birds, bees, and the Monarch butterfly. (#Ovadyah 1:21). I am translating his true warning into something a child might understand, like walking forward upon dry land without fear. #UN #ICJ #IRMCT The White House U.S. Secret Service U.S. Department of State The Carter Center Biden Foundation Obama Foundation Clinton Global Initiative NATO UK Home Office INTERPOL European Commission US Congress #terrorism (#earth, #water, #fire, #air, #space) #SolarWind #SolarCity #SolarFlare #SolarEclipse #Earthquakes #Wuhan flu (7 mm + dead) #Barges, Twin #Towers, #EMP #HEMP #5G #Havana #ecocide International Consortium of Investigative Journalists (ICIJ) #database

📢 Navigating Through Jamie Dimon's Global Warning Jamie Dimon, CEO of JPMorgan Chase, has raised concerns about the global climate, stating, “Now may be the most dangerous time the world has seen in decades.” Here's a brief breakdown and how we might address these challenges: 🌍 Geopolitical Conflicts: With wars influencing global trade, energy, and food markets, leading to potential unpredictable shifts in geopolitical relationships, a proactive approach would be to diversify supply chains and consider alternative markets to mitigate potential disruptions. 📉 Economic Indicators: While JPMorgan highlighted a decline in investment banking revenue and a decrease in year-on-year deposits, it underscores the importance for businesses to stress-test their financial models and identify areas of potential vulnerability. 🛡️ US Economy Insights: Amid the general health of the US economy, there are signs of strain, from consumer spending habits to inflationary pressures. To navigate these challenges, it's prudent to reinforce financial safety nets, explore cost-saving measures, and prioritize essential investments. In this fluid landscape, proactive planning and flexibility are key. Regularly review and adjust business strategies, engage in continuous learning, and stay networked with industry peers to share insights and best practices. #Economy #JPMorgan #StrategicPlanning #FinancialInsights #JPMorganChase #GlobalEconomy #RiskManagement

Witnessing how financial giants like J.P. Morgan and Citi navigate economic uncertainties is fascinating. Their ability to adapt and capitalize on market conditions, particularly in investment banking and stock trading, underscores the resilience and strategic agility essential in today’s volatile economic landscape. As we progress, it will be interesting to see how these banks sustain this momentum amidst ongoing challenges. This scenario reminds us of the importance of adaptability and forward-thinking in financial strategy and management.

Now that earnings from all the big banks are out, my takeaway this morning in Barron's: The tables are starting to turn for Wall Street vs. Main Street. Wall Street businesses are starting to show signs of getting back in control; consumer businesses, not so much. Investment bankers look poised to start winning again after a muted period of stock market debuts and issuance. “We’re seeing that wallet start to rebound. We’re part of that rebound," Citi's CFO said of the firm's investment bank last week. Main Street results are meanwhile starting to more meaningfully reflect the double-edged sword of higher-for-longer rates — a strong income driver for a while — eating into profits as customers seek higher rates for deposits. JPMorgan numbers reflect this dynamic: the consumer and community bank's net income fell 15% from a year prior while IB fees are up 21% in the same time thanks to higher debt and equity underwriting fees. Lots of caveats to this in my piece :) Please keep sending me feedback and tips to rebecca.ungarino@barrons.com.