The Federal Reserve lowered the target range of the federal funds rate to zero percent to 0.25% over the weekend in response to the potential economic impact of the coronavirus (COVID-19).
The Wall Street Journal reported that U.S. stock market experienced its worst day on record since 1987 despite a move by the Federal Reserve to add $1.5 trillion to the market to curb “ominous” market activity.
The Federal Reserve Open Market Committee decided to lower the target range for the federal funds rate by half a percentage point, to a rate of 1% to 1.25%.
According to Reuters, Federal Reserve Chairman Jerome Powell expressed concern over the rise of business debt in the last few years, but did not believe comparisons to the decade-old subprime mortgage crisis were entirely warranted.
First Midwest Bancorp, the parent company of First Midwest Bank, received approval from the Federal Reserve to acquire Bridgeview Bancorp and its wholly owned subsidiary, Bridgeview Bank Group.
The Federal Reserve raised the target range for the federal funds rate to 2% to 2-1/4% in view of realized and expected labor market conditions and inflation.
The Wall Street Journal reported Wells Fargo Chief Operational Risk Officer Mark D’Arcy is leaving after an 18-month tenure following a Federal enforcement action against the bank.
Respondents to the Federal Reserve’s July 2018 Senior Loan Officer Opinion Survey on Bank Lending Practices indicated officers eased their standards and terms on C&I loans to firms of all sizes.
According to the Fed, the nation’s largest banks are strongly capitalized and would be able to lend to households and businesses during a severe global recession.