TITAN25 USAF E-4 B Nightwatch on ground at New Delhi Int'l Airport from Seoul Osan AB arrival
Been on ground for a little over 90 minutes
SAM999 chek't USAF G5 ws from JBA depart
99-6143 USAFSOC C-32B departed Eglin AFB ne from Eglin AFB
Joe and Kneepads going to Georgia today
Schedule says an 11:05am EST depart from JBA to Dobbins ARB-where all those C-17's dropped equipment-with 4 loads yesterday.
>>71433 pb
Looks like Marine One will be used between Dobbins and CDC (DeKalb Peachtree Airport) and back to Dobbins for the depart back to JBA
They then go to the CDC for a meeting and then on to Emory University to "meet with Georgia Asian American leaders".
All right here
https://factba.se/biden/calendar
Federal Reserve to End Emergency Capital Relief for Big Banks
The Federal Reserve said Friday it would allow a yearlong reprieve for the way big banks account for ultrasafe assets such as Treasury securities to expire as scheduled at the end of the month, a loss for Wall Street firms that had pressed for an extension to the relief.
The decision means banks will lose the temporary ability to exclude Treasurys and deposits held at the central bank from lenders’ so-called supplementary leverage ratio. The ratio measures capital—funds that banks raise from investors, earn through profits and use to absorb losses—as a percentage of loans and other assets. Without the exclusion, Treasurys and deposits count as assets.
The Fed said it would soon propose longer-term changes to the rule to address its treatment of ultrasafe assets.
https://www.wsj.com/articles/federal-reserve-to-end-emergency-capital-relief-for-big-banks-11616158811
If they are "so safe" why have you excluded them from the Stress Test(s) all this time….
Taking the CMBS facility away after March 23rd too.
>>71285 pb
If I'm reading dat right then the big banks can't push everything into the "hold to maturity bucket" so the FED doesn't "see" them.
The one reason the Stress tests were a total farce
Currency swaps heating up, facility (trash for cash) taken away.
Doesn't look good for 'em
kek!
Germany pushes up record debt plans to more than 240 billion euros
Germany’s finance minister is working on a debt-financed supplementary budget worth more than 60 billion euros ($71 billion) which will push up annual net new borrowing to a record high of over 240 billion euros this year, two sources said on Friday.
The massive fiscal push is needed due to a longer-than-expected COVID-19 lockdown which increases costs to help struggling companies as well as workers on job-protection schemes, two people familiar with the matter told Reuters.
Finance Minister Olaf Scholz is expected to present the supplementary budget for this year and the fiscal framework for 2022 next Wednesday.
https://www.reuters.com/article/germany-budget/germany-pushes-up-record-debt-plans-to-more-than-240-bln-euros-sources-idUSL8N2LH429
"We Won't Tolerate Yield Fluctuations": Schizoid Kuroda Fine-Tunes Market Micromanagement, Sparks BOJ Mockery'''
Here are the key highlights:
*The bank "clarified" (following some now typical confusion) that its tolerable band for fluctuations of 10-year JGB yields is around ±25 bp from the target level, widening from ±20 bp previously. At the same time, it introduced "fixed-rate purchase operations for consecutive days" to maintain the upper limit of its tolerable band.
*To give itself more room to wind down its massive stimulus, the central bank also removed an explicit guidance to buy ETF and J-REITs at an annual pace of roughly ÂĄ6 tn and ÂĄ90 tn, respectively. Instead, the BOJ now plans to continue purchasing ETFs and J-REITs with upper limits of ÂĄ12 tn and ÂĄ180 bn on an annual basis, respectively. These upper limits were originally set as a temporary COVID-19 countermeasure. The BOJ also said it will focus on buying ETFs tracking the Topix rather than the Nikkei 225 (which led to selling of Nikkei 225 stocks and a rebound in the Topix).
*The BOJ announced the introduction of a new scheme named "Interest Scheme to Promote Lending," under which (positive) interest rates, linked to the short-term policy rate, will be applied to financial institutions' current account balances. This scheme will be enacted when the BOJ decides to cut short-and long-term interest rates in the future, with a view to mitigating the potential adverse effect on the functioning of financial intermediation.
“We won’t tolerate yield fluctuations that would have an impact on our monetary easing,” Kuroda told a briefing. We absolutely need to make sure the effect of our monetary easing isn’t hurt. We clarified that stance with our new guidance.” The biggest take home from Kuroda and Co is that the BOJ said the band around its 10-year bond yield target was around 0.25% either side of zero - which until now the range had been assumed to be around 0.2%, effectively a modest loosening of Japan's YCC which helped send Japanese bank stocks higher. To avoid sending a message that the BOJ was tightening conditions, Kuroda said the band hadn’t been widened, only clarified. Adopting a wider tolerable band for 10-year yields was initially considered the most likely adjustment, but Kuroda clearly refuted the possibility in the Diet session on March 5. Goldman attributes the about-face to financial markets settling down since then, as well as the government’s decision to lift the state of emergency as of March 21.
Indeed, the BOJ said it will not apply the rule rigidly when yields move below the band temporarily, but step in forcefully with unlimited bond purchases to prevent sharp rise in yields. The conflicting goals made the BOJ’s tweaks so modest it will barely revitalize markets, some analysts say. Economists, leery of calling out naked BOJ emeperor, described the moves as "a balancing act that allows the BOJ greater scope to buy fewer assets but also shore up the effectiveness and sustainability of its measures." Currency and bond markets largely took the moves in stride with the decision to focus only on ETFs on the Topix index briefly driving down shares on the Nikkei 225.
The best summary of the BOJ's schizophrenic approach to micromanage the market came from Bloomberg's Garfield Reyonds who wrote the following: BOJ Governor Kuroda states Friday’s decision to set the 10-year yield range at -25bps to +25bps was a move to clarify the target, not to raise it. What is instead becoming clear is that the BOJ’s massive and persistent asset purchases are ineluctably drawing the central bank to expand its role in assets and the economy.
The BOJ’s increased focus on 20-year notes, and concern they not get too low, implies that YCC is advancing up the curve, and potentially becoming more vague. The central bank’s stock-market ambitions have also become both more focused (dropping NKY for the Topix), and less focused (eliminating the 6t yen lower target). And Kuroda announced a plethora of measures to try and better engineer the right sort of mix of behaviors from banks. To sum up, the BOJ:
*Raised where it will in practice allow 10-year yields to go, but claimed that in theory it did nothing
*Appears to be favoring value stocks over growth
*Is certain it can somehow safeguard banks against the impact of negative rates, despite so far struggling to do so
Couldn't have said it better ourselves.
https://www.zerohedge.com/markets/we-wont-tolerate-yield-fluctuations-schizoid-kuroda-fine-tunes-market-micromanagement
99-6143 USAFSOC C-32B on approach for Bragg from Eglin AFB depart
These have been quiet the last few days…
Bank ETFs slide on surprise Fed decision
Exchange-traded funds with exposure to the financial sector slipped on Friday after the Federal Reserve said it would not extend a measure of bank regulatory relief. The Invesco KWB Bank ETF KBWB, -2.29% was down 2.2% mid-morning, and the First Trust Nasdaq Bank ETF FTXO, -1.71% and the Financial Select Sector SPDR Fund XLF, -1.88% each fell 1.7%. Regional-bank funds fared the same: the iShares U.S. Regional Banks ETF IAT, -1.54% gave up 1.7%. The Fed's decision means that starting on April 1, big banks will have to include Treasurys in calculation of the Supplementary Leverage Ratio. An exemption to that rule was put in place in the aftermath of the coronavirus market shocks.
https://www.marketwatch.com/story/bank-etfs-slide-on-surprise-fed-decision-2021-03-19
yep..wuz right
AF2 USAF C-32A departed JBA sw
N22PP Dept. of Interior Nat. Park Police Bell 412 up from Eagle's nest and in it's customary position
it all depends if they actually enforce it.
Kinda been a problem.
These guys are shitting pants too
FRBNY Primary Dealers
that's wut I hope it does.
Then they will produce the already agreed upon solution-whatever that is…prolly rolling it back
AF2 USAF C-32A began it's descent to Dobbins ARB, GA
99-6143 USAFSOC C-32B wn from it's Bragg ground stop
RCH753T USAF C-17 Globemaster sw from Bangor ME ground stop and call sign change to "T" on depart-Inbound from Rota NB Spain depart
Not AF1
82-8000 USAF 747 departed JBA for Dobbins ARB, GA
AF2 USAF C-32A on ground at Dobbins
Biden stumbles as he walks up the steps of Air Force One at Joint Base Andrews, Md, for a trip to Atlanta,
https://twitter.com/dougmillsnyt/status/1372935276813766660
Treasury Injects A Record $271 BIllion In Cash In One Day, Sending ST Rates Negative
A little over a month ago we explained that in line with the Treasury's forecast for huge net debt drawdown in the current quarter, a record $1.1 trillion in cash and reserves was about to hit the market. Fast forward to today when catalyzed by the latest Biden stimulus bill, this flood has officially begun, and as the latest Daily Treasury Statement showed, on March 17, the Treasury cash held at the Fed in the Treasury General Account dropped by from $1.361 trillion to $1.090 trillion, the lowest since April 2020…… and a massive $271 billion injection of cash in one day!
The offset to the drain in the TGA was a surge in bank depository cash, which soared to a record $3.873 trillion, a $220BN increase in one week. As a reminder, we said that once this avalanche of liquidity in the form of cash and reserves hits the system and once deposits soared, it "would trigger a multi-faceted domino effect across assets, potentially pushing funding rates (FRA-OIS, repo, etc) negative", and sure enough that's precisely what happened today, with the rate on overnight general collateral repurchase agreements sliding below zero amid the monthly influx of cash from both the Treasury and GSEs: Meanwhile, Treasury bills maturing through mid-May are yielding between -0.015% and 0%. The scramble for collateral is so aggressive that direct bidders in Thursday's 4-Week Bill were awarded the largest share of the takedown in seven years despite the near-zero stopout yield, an indication that investors expect it may become more difficult to find positive-yielding short-term assets. For those who missed it, the Treasury sold $40BN four-week bills at 0.05%, the lowest stopout yield since March 26, 2020, and as Jefferies economist Thomas Simons wrote, the direct bidder award of 21% - largest since February 2014 - is an “extraordinarily large takedown that essentially defies explanation.”
Which means to expect even lower negative rates: as Bloomberg's Alexandra Harris notes, even when GSE cash exits, funding rates may remain pinned near zero as banks’ reserve balances at the Fed swell due to ongoing asset purchases and a faster deceleration in the Treasury General Account. It's also what Zoltan Pozsar predicted, especially now that we know that the SLR won't be extended, potentially forcing banks to shrink their balance sheets.
One more point: keep an eye on the Fed’s RRP facility as the combination of an “ever- expanding Fed portfolio” and a declining TGA releases more cash into the system, “some of that is likely to end up in the RRP facility rather than in bank reserve balances,” Wrightson ICAP economist Lou Crandall says in note.
Finally, as a reminder, earlier today the Fed announced that it will let exemptions to the supplementary leverage ratio expire at the end of the month; as a result, Treasury yields rose and long-end swap spreads widened.
https://www.zerohedge.com/markets/treasury-injects-record-270-billion-cash-one-day-sending-st-rates-negative
RCH753T USAF C-17 Globemaster on approach for Atlanta Int'l from Bangor , ME ground stop
82-8000 USAF 747 was joined by 09-0015 USAF C-32A on departure from JBA
09-0015 USAF C-32A should go to Robins AFB, GA with Fauxtus heading for Dobbins-already began it's descent