Jane Fraser, Managing Director of Citigrouphas pointed out that the The US banking system is solid and secure after the last banking crisis. He also added that the buy from First Republic from JPMorgan Chase should help calm the market accordingly Brian Sozzi at Yahoo Finance.
“I have to say that there is a palpable sense of relief in everyone this morning because it is undoubtedly sad to see a bank collapse,” Fraser told Yahoo Finance Live Milken Institute Global Conference 2023 On Monday. “This was the last remaining major uncertainty of the a small handful of banks that haven’t done a good job at asset and liability management and they also fell victim to the steepest rise in the yield curve in 40 years.”
“If we look at the US banking system in general, this is a solid system, it’s a secure system that the whole world is the envy of us,” Fraser added.
Fraser stays focused continue to transform your global bank against the background that the competitor JPMorgan is growing even faster with the acquisition of First Republic.
“The Regulators on Monday morning seized regional bank First Republic and sold most of the bank’s business to JPMorgan. Mark the Biggest bank failure since the 2008 financial crisisreported Yahoo Finance’s David Hollerith.
Crisis purchases are nothing new for JPMorgan: the bank took over Washington Mutual and Bear Stearns at the height of Big financial crisis over a decade ago.
JPMorgan approved the acquisition $173 billion in assets, $30 billion in securities, and $92 billion total in warehouses of the First Republic.
First Republic strengthens JPMorgan’s presence in wealth managementan area that Citi has also flagged as a mature opportunity.
“I think you’re seeing … different banks playing different roles,” Fraser said. “There’s a tendency toward that Just think of the big banks in the national context. We play a a central role worldwide. Our own institution is moving $4 trillion in volume dailythat’s Germany’s gross domestic product on a daily basis for 5,000 multinational companies worldwide.”
Citigroup It started the month at $47.25 with a bullish gap but closed the session in red and the 70 and 200 period moving averages remained on the first candle of the month. Meanwhile, the egg indicators are mixed.