Federal Reserve Board: H.2 Release for Week Ending July 1, 2017; H.4.1 Release (Balance Sheet) for Week Ending July 6, 2017; July 2017 MPR Press Release


 

The semiannual Monetary Policy Report to the Congress will begin in the House of Representatives on July 12, 2017.  Senate testimony will be on July 13, 2017.

The Board announced on June 29, 2017, that it would release the Monetary Policy Report several days before the hearing (a new procedure–previously, the MPR was released to the Congress less than 24 hours before the first hearing).

Monetary Policy Report, July 2017

The Monetary Policy Report hearings will be held on July 12 and 13, 2011.

Monetary Policy Report (July 7, 2017): https://www.federalreserve.gov/monetarypolicy/files/20170707_mprfullreport.pdf

Testimony:  https://www.federalreserve.gov/newsevents/testimony/yellen20170712a.htm

U.S. House of Representatives U.S. Senate
July 12, 2017, 10:00 a.m., House Financial Services Committee July 13, 2017, 10:00 a.m., Senate Banking Committee
Press release: https://financialservices.house.gov/news/documentsingle.aspx?DocumentID=402097 Press release:

https://www.banking.senate.gov/public/index.cfm/2017/7/the-semiannual-monetary-policy-report-to-the-congress

 

 

The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending July 1, 2017, is below.


H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Forms
Forms — initial Board review to extend without revision the Government Securities Dealers Reports (FR 2004, composed of: FR 2004A, FR 2004B, FR 2004C, FR 2004SI, FR 2004SD, FR 2004SD ad hoc, FR 2004WI, FR 2004FA, FR 2004FB, FR 2004FC, and FR 2004FM).
-Proposed, June 29, 2017

Forms — initial Board review to extend with revision the Weekly Report of Selected Assets and Liabilities of Domestically Chartered Commercial Banks and U.S. Branches and Agencies of Foreign Banks (FR 2644).
-Proposed, June 29, 2017

Forms — final Board review to extend without revision the Annual Daylight Overdraft Capital Report for U.S. Branches and Agencies of Foreign Banks (FR 2225).
-Approved, June 30, 2017
Regulations and Policies Host State Lending Ratios — interagency release of the host state loan-to-deposit ratios used by the banking agencies to determine compliance with the Riegle-Neal Interstate Banking and Branching Efficiency Act.

-Announced, June 21, 2017

Supervision and Regulation Regulation TT (Supervision and Regulation Assessments of Fees) — 2016 supervisory assessments, assessed companies, and related matters, pursuant to the Dodd-Frank Act and Regulation TT.
-Approved, June 30, 2017

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for July 6, 2017, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of June 28, 2017):  $4,513,790 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

Rank and Yank / Forced Distribution–Dick Grote: Giving Advice on Bad Reviews—Agree with Poor Rating

[Note:  This blog has covered Dick Grote’s wicked “rank and yank” program previously.]

Dick Grote has authored another article on “rank and yank,” “What to do when you think your performance review is wrong” (published in the Harvard Business Review (March 7, 2017)). This time the defense of the system is indirect—informing the recipient of a “C-Bucket” rating to accept it. Indeed, as Grote states in the article, nothing the employee argues against the rating is likely to change it.

Indeed that is true in the rank and yank process. The decision made in the calibration meeting for managers is final. Those in the C-Bucket receive negative ratings in order to convince them to quit.

Bucket (rank)

Percentage [“vitality curve”] (amounts can be adjusted)

Effect

A

20

Lavish rewards, encouragement

B

70

Little to paltry increase

C

10

Pressure to quit, firing

Because of the calibration meeting, where managers rank employees, changing a rating means changing it for others, given that rank and yank is a rigid, inhuman, and employee-abusive system.

rank_yank
Artist: Michael Sloan

A key Grote quote:

“But what if a company’s forced ranking procedure, honestly and objectively done, reveals that the blacks or women or disabled employees just aren’t as talented as the white ones? Should they do what some Harvard professors are said to do and award A’s to all the blacks, just to keep them from squawking?” (Grote, page 4 (a quote from a previous post). (Note: Consider this statement from Grote with the ever-present and persistent legacy of slavery and Jim Crow subjugation in the United States of America.)


Grote offers three options for an employee facing an unacceptable performance rating:

  • Accept the rating (Grote preferred).
  • Disagree with the rating (Grote disfavored this option because the manager is invested in the rating, errors look bad on the manager (rather interesting an aggrieved employee must defend unacceptable management behavior, while the employee is expected to satisfy any whim of the manager).
  • Quit (Grote advises for people who get c-bucket ratings to go on a “decision-making” leave to decide either to attempt to fulfill the impossible to meet expectations or quit. The resignation of the employee is the ultimate goal.)

While Grote thinks managers should be given absolute authority in performance appraisal, the personnel record is the property of the employee. The employee has the right to state what is allowed in that property; hence, the reason why employees must sign reviews. The company merely has possession of the employee’s property—the contents of the file.

Save

Federal Reserve Board: July 2017 Monetary Policy Report Released Before Hearing for the First Time; MPR Hearing Info

The semiannual Monetary Policy Report to the Congress will begin in the House of Representatives on July 12, 2017.  Senate testimony will be on July 13, 2017.

The Board announced on June 29, 2017, that it would release the Monetary Policy Report several days before the hearing (a new procedure–previously, the MPR was released to the Congress less than 24 hours before the first hearing).

Monetary Policy Report, July 2017

The Monetary Policy Report hearings will be held on July 12 and 13, 2017.

Monetary Policy Report (July 7, 2017):  https://www.federalreserve.gov/monetarypolicy/files/20170707_mprfullreport.pdf

U.S. House of Representatives U.S. Senate
July 12, 2017, 10:00 a.m., House Financial Services Committee July 13, 2017, 10:00 a.m., Senate Banking Committee
Press release: https://financialservices.house.gov/news/documentsingle.aspx?DocumentID=402097 Press release:

https://www.banking.senate.gov/public/index.cfm/2017/7/the-semiannual-monetary-policy-report-to-the-congress

 

 

 

 

Federal Reserve Board: H.2 Release for Week Ending June 24, 2017; H.4.1 Release (Balance Sheet) for Week Ending June 29, 2017; July 2017 MPR Press Release


The semiannual Monetary Policy Report to the Congress will be in the House of Representatives on July 12, 2017. The Senate’s hearing has not been announced (as of the date of this blog post), but it will likely be held on the next day, July 13.

Monetary Policy Report, July 2017

The Monetary Policy Report hearings will be held on July 12 and 13, 2011.

U.S. House of Representatives U.S. Senate
July 12, 2017, 10:00 a.m., House Financial Services Committee July 13, 2017, 10:00 a.m., Senate Banking Committee
Press release: https://financialservices.house.gov/news/documentsingle.aspx?DocumentID=402097 Press release:

The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending June 24, 2017, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Testimony and Statements Regulation and Economic Growth — statement by Governor Powell before the Senate Committee on Banking, Housing, and Urban Affairs on the relationship between regulation and economic growth.

-Published, June 22, 2017

Forms Forms — initial Board review to extend without revision the Compensation and Salary Surveys (FR 29a, FR 29b).

-Proposed, June 22, 2017

Regulations and Policies Host State Lending Ratios — interagency release of the host state loan-to-deposit ratios used by the banking agencies to determine compliance with the Riegle-Neal Interstate Banking and Branching Efficiency Act.

-Announced, June 21, 2017

Savings and Loans Holding Companies Seneca Federal Savings and Loan Association, Baldwinsville, New York, and Ponce de Leon Federal Bank, Bronx — requests for limited waivers under Regulation MM in connection with their proposed reorganizations to mutual holding company form and related initial public offerings; and delegation of authority to the Federal Reserve Banks to grant waivers of certain provisions concerning mutual holding company stock issuances in similar circumstances that do not raise significant legal, policy, or supervisory concerns.

-Granted, June 22, 2017

Supervision and Regulation Stress Tests and Capital Plan Reviews — 2017 results.

-Approved, June 21, 2017

Enforcement Bank of New York Mellon Corporation, New York, New York — issuance of a consent order of assessment of a civil money penalty.

-Approved, June 19, 2017

 

JPMorgan Chase & Co., New York, New York — written agreement dated July 6, 2011, terminated June 16, 2017.

-Announced, June 20, 2017

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for June 29, 2017, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of June 28, 2017):  $4,509,646 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

Federal Reserve Board: H.2 Release for Week Ending June 17, 2017; H.4.1 Release (Balance Sheet) for Week Ending June 22, 2017; Three Of Note Items


Of Note–

(1) Oxfam America’s Politics of Poverty:  “Contingent work: Using rigged rules against American workers.”

(2) The Guardian (UK). A view of precarious work (“gig-economy” jobs).

A sample quote–

“O’Grady reaches for a similar description. “I am personally shocked about how technology is used as a tyrant in the workplace. Tracking people going to the toilet. Tracking the work they do … All of that feels Dickensian in its failure to respect workers as human beings. They are just commodities. There is something really sickening about it.”

(3) Despite the claims of an improving economy, many people are still left out. (Emphasis, below, is from me.)

The civilian labor force participation rate was 62.7%, a 0.2% decrease from April. Workers unemployed for less than 14 weeks fell 356,000, while the number of long-term unemployed, those jobless for 27 weeks or more, rose to 1.7 million and accounted for 24.2% of the unemployed. The number of discouraged workers was 355,000, falling for the fourth straight month.


The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending June 17, 2017, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Monetary Policy Implementation Federal Open Market Committee — increase in the target range for the federal funds rate to 1 percent to 1-1/4 percent, effective June 15, 2017.

-Announced, June 14, 2017

Interest on Reserves; Discount and Advance Rates — increase in the (1) interest rate paid on required and excess reserve balances from 1 percent to 1-1/4 percent and (2) primary credit rate from 1-1/2 percent to 1-3/4 percent, both effective June 15, 2017.

-Approved, June 14, 2017

Personnel Division of International Finance — appointment of Stephanie Curcuru, Matteo Iacoviello, and Carol Bertaut as assistant directors, and Sally Davies as deputy associate director.

-Announced, June 12, 2017

Enforcement Bank of America Corporation, Charlotte, North Carolina — written agreement dated December 6, 2010, terminated June 8, 2017.

-Announced, June 15, 2017

Bank of the Orient, San Francisco, California — cease-and-desist order dated June 17, 2015, terminated June 7, 2017.

-Announced, June 13, 2017

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for June 22, 2017, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of June 21, 2017):  $4,520,944 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

“Rule of Law”: Without Consideration of Equity by Law Enforcement and the Judicial Systems, the “Rule of Law” Alone Creates Destructive Injustice

[Note (26-June-17): Shortly after this post was published, the city of St. Anthony, Minnesota, through League of Minnesota Cities Insurance Trust,  reached a $2.995 million settlement with Philando Castile’s mother, Valerie Castile.]

See statement of Valerie Castile, mother of the late Philando Castile:  http://cbsloc.al/2twBJEO

In cases where an unjust ruling results, lawyers are quick to remind people that the judicial (and law enforcement) systems’ decisions must be respected. The lawyers never mention that the legal system also has obligations to ensure the maintenance of the respect of the rule of law. These duties are not solely operational duty of the workings of the judicial/law enforcement system, but also deeper work to ensure that the decisions reached by that system are objectively fair in all aspects of their work–operations and the treatment of those suffering injury.

The failure of the judicial system to take its equity portion of its decision mandate will be the cause of the collapse of the so-called rule of law. Since police officers are given permission to use deadly force and kill at the mere perception of fear, no matter the source, there must be accountability for every decision made with the use of lethal force. This type of leeway expanded to infinity can itself collapse the rule of law and civil society.

 

In the Philando Castile case in Minnesota, the Ramsey County Attorney, John Choi, was focused only on operational fairness as the representation of the rule of law. However, a human being died as a result of another’s (a police officer) panic and mistakes and the judicial system operational duty did not relieve any of the Castile family’s permanent pain caused by a Minnesota city’s police officer.

The judicial system in Minnesota, thus, sent the Castile family away with their loss and pain while praising itself for its operational fairness (while ignoring the fact that the operational fairness in this case (that is, the show investigation and trial (because of the U.S. Supreme Court cases of Graham v. Connor and Tennessee v. Garner ensured a finding of not guilty) compounded the injustice suffered by the Castile family)–and, on top of that, demanding respect for the “rule of law” and the decision of the jury.

(Author’s Note: For the safety of the public, the use of police officers as traffic ticket revenue sources must stop, given the limitless leeway for police officers to kill or injure at the slightest sense of fear.)

[See statement of Valerie Castile, mother of the late Philando Castile:  http://cbsloc.al/2twBJEO.]

 

Federal Reserve Board: H.2 Release for Week Ending June 10, 2017; H.4.1 Release (Balance Sheet) for Week Ending June 15, 2017; Four Of Note Items


Of Note–

(1) The plight of the long-term unemployed (out of work longer than a mere six months) continues. A Bloomberg article implies that the issue is focused on the formerly incarcerated, the disabled, and those who have been, or are, addicted to drugs.

[No description of programs to assist people to return to work was included in the article.]

The disconcerting title of a Money magazine article speaks volumes (although it implies the unemployed are to blame for their plight): “Unemployment is Really Low. So Why Can’t These People Find Jobs?

(2) Kansas and the failure of the so-called Laffer Curve (aka Voodoo Economics).

(3) Institute for New Economic Thinking, “The Hidden Cost of Privatization.”

(4) The New York Times. “The Decline of the Baronial CEO.” Cutthroat forced distribution (or “rank and yank”) encouraged by CEO’s on powerless employees have ultimately reached the C-Level. (Although CEOs are well compensated, unlike employees, in their “exit” packages.)

rank_yank
Artist: michael sloan

The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending June 3, 2017, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Bank Holding Companies Canadian Imperial Bank of Commerce, Toronto, Canada, and CIBC Holdco Inc., New York, New York — to acquire PrivateBancorp, Inc., Chicago, Illinois, and thereby indirectly acquire The PrivateBank and Trust Company.

-Approved, June 6, 2017

Forms Forms — initial Board review to extend with revision the Capital Assessments and Stress Testing information collection (FR Y-14A/Q/M).

-Proposed, June 6, 2017

Personnel Division of Supervision and Regulation — appointment of Mary Aiken as senior associate director.

-Announced, June 5, 2017

Savings and Loan Holding Companies TIAA Board of Overseers, New York, New York; Teachers Insurance and Annuity Association of America; and TCT Holdings, Inc. — to acquire EverBank Financial Corp, Jacksonville, Florida, and thereby indirectly acquire EverBank, a federal savings association.

-Approved, June 6, 2017

Enforcement EverBank Financial Corp, Jacksonville, Florida — issuance of a consent order of assessment of a civil money penalty against EverBank Financial Corp for mortgage servicing deficiencies, and termination of a related enforcement action issued in April 2011.

-Approved, June 8, 2017

 

Regions Bank, Birmingham, Alabama — issuance of consent orders of prohibition against Richard Alan Henderson and Philip Henry Cooper, both former employees and institution-affiliated parties.

-Announced, June 7, 2017

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for June 15, 2017, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of June 14, 2017):  $4,522,637 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)