Easy access to FHLB funds has helped community banks stay afloat in today's competitive markets, but could pose a risk to the FDIC's insurance fund.
Commercial paper has become a force to be reckoned with in the U.S. money market. It comes with risks, though, that shouldn’t be papered over.
It’s been used for years as a predictor of future interest rates, but these days, the yield curve is being used to predict recessions, too.
On the surface, the recent rise in the number of past due loans appears to pose a significant threat to bankers’ profits. A more thorough review, however, shows that the trend is nothing to be alarmed about.