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close video Banking anxieties are vanishing very quickly: Adam Johnson

Bullseye American Ingenuity Fund portfolio manager Adam Johnson makes the case for buying bank stocks after the recent chaos on ‘Varney & Co.’

As consumers and Wall Street investors eye this week’s list of bank earnings for either a gauge on their dollar or direction of market volatility, professionals in the finance sector have concerns up and down the balance sheet. 

Ahead of quarterly financial reports Friday from BlackRock, Citigroup, JPMorgan Chase, PNC Financial and Wells Fargo, FOX Business surveyed a group of finance experts for their take on the upcoming earnings releases and what they will be looking for in the data.Ticker Security Last Change Change % BLK BLACKROCK INC. 670.73 +4.76 +0.71%C CITIGROUP INC. 47.30 +0.38 +0.81%JPM JPMORGAN CHASE & CO. 128.99 +0.49 +0.38%PNC THE PNC FINANCIAL SERVICES GROUP INC. 121.41 +1.71 +1.43%WFC WELLS FARGO & CO. 39.66 +0.47 +1.20%

Jeff Buchbinder, chief equity strategist for LPL Financial, said, "Investors may be surprised with how the big banks held up in the first quarter."

"But the problem is the lending and profit environment over the next several quarters, not first quarter results," he added. "The big banks were winners from the bank failures but the profit environment going forward just got a little tougher in an economy that was already slowing."

JAMIE DIMON WARNS BANKING CRISIS HAS RAISED ODDS OF RECESSION

Meanwhile, Jamie Cox, managing partner at Harris Financial Group, told FOX Business, "Bank executives will likely be too cautious and oversell the effects of the banking crisis in hopes of staving off or denting regulatory changes that would impact earnings a lot longer than short-term funding issues."

"The worst thing that could happen going into a recession for mid-tier banks would be a major regulatory change affecting their capital at a time when it could be taxed by recessionary factors," he said. While some finance pros might be interested in seeing the banks’ deposit amounts, "the bigger question of bank liquidity was solved by the Fed.

"The longer we go with no major takeovers from the Federal Deposit Insurance Corporation, the fewer depositors will fear holding deposits at a bank," he finished. 

REGIONAL BANKS 'REASONABLY STABLE' BUT REGULATORS NEED TO PROVIDE 'MORE CLARITY': FORMER FDIC CHAIRWhat are banks saying?

Kelly Crawford, VP and financial treasurer of Countybank in South Carolina, said, "The outlook for bank earnings is positive with net interest margin continuing to drive profitability."

"We believe net interest margin expansion has reached its peak with rising deposit pricing putting additional pressure on cost of funds," she continued. "While the potential for a recession continues to be at the forefront of everyone’s mind, tighter credit standards will follow, while the overall size of banks on average will be reduced in the first quarter, which should positively impact capital."

Last week, JPMorgan Chase CEO Jamie Dimon warned the turmoil that has engulfed the financial sector in the wake of recent bank collapses is not over and will ripple throughout the economy for many years.

Jamie Dimon, CEO of JPMorgan Chase, is sworn in during the Senate Banking, Housing, and Urban Affairs Committee hearing on Sept. 22, 2022. (Tom Williams/CQ-Roll Call, Inc via Getty Images / Getty Images)

In March, First Citizens Bank began acquiring assets from Silicon Valley Bank (SVB), the Federal Reserve announced another 25-basis-point interest rate increase after SVB and Signature Bank collapsed, erasing billions of market value in financial stocks.

Meanwhile, First Republic Bank struggled to stay in business even after a $30 billion lifeline from other financial institutions.

IS MY BANK SAFE FROM FAILING? WARNING SIGNS OF FINANCIAL TROUBLE

Crawford said: "The yield curve rallied in the latter half of the first quarter, which should reduce the unrealized losses on bank balance sheets and securities portfolios."

"This should lead to less stress on liquidity and potential borrowing restrictions that could result if tangible capital ratios fall below specific targets," she added. "Bank earnings should continue to be positive; however, mortgage volume continues to be low due to high mortgage rates, which limits the growth potential for banks in the real estate lending sector."And the academics?

In an interview with FOX Business, Derek Horstmeyer, a professor of finance at the George Mason University School of Business, said, "Some finance pros will look for disclosure in the footnotes." close video Banks are the lifeblood of the economy: Jim Bianco

Bianco Research President Jim Bianco explains why banks declining amount of money hurt the Federal Reserve and economy on Making Money.

"For instance, details on percent of deposits that are over the regulatory threshold and any disclosure on the steadiness of deposits, or facilities they have access to for short term funds," he went on. "For others, commercial real estate performance will have their attention, which has been showing cracks in some parts of the country, so details on its performance could be important."

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Fireball at Southend Airport after small plane crashes

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Fireball at Southend Airport after small plane crashes

A small plane has crashed at Southend Airport in Essex.

Essex Police said it was at the scene of a “serious incident”.

Images posted online showed huge flames and a large cloud of black smoke, with one witness saying they saw a “fireball”.

A police statement said: “We were alerted shortly before 4pm to reports of a collision involving one 12-metre plane.

“We are working with all emergency services at the scene now and that work will be ongoing for several hours.

“We would please ask the public to avoid this area where possible while this work continues.”

Fireball after plane crash at Southend Airport. Pic: Ben G
Image:
A huge fireball near the airport. Pic: Ben G

It has been reported that the plane involved in the incident is a Beech B200 Super King Air.

According to flight-tracking service Flightradar, it took off at 3.48pm and was bound for Lelystad, a city in the Netherlands.

One man, who was at Southend Airport with his family around the time of the incident, said the aircraft “crashed headfirst into the ground”.

John Johnson said: “About three or four seconds after taking off, it started to bank heavily to its left, and then within a few seconds of that happening, it more or less inverted and crashed.

“There was a big fireball. Obviously, everybody was in shock in terms of witnessing it. All the kids saw it and the families saw it.”

Mr Johnson added that he phoned 999 to report the crash.

Southend Airport said the incident involved “a general aviation aircraft”.

Four flights scheduled to take off from Southend this afternoon were cancelled, according to its website.

Flightradar data shows two planes that had been due to land at Southend were diverted to nearby airports London Gatwick and London Stansted.

Smoke rising near Southend airport. Pic: UKNIP
Image:
Plumes of black smoke. Pic: UKNIP

Essex County Fire and Rescue Service said four crews, along with off-road vehicles, have attended the scene.

Four ambulances and four hazardous area response team vehicles are also at the airport, as well as an air ambulance, the East of England Ambulance Service said.

Its statement described the incident as “still developing”.

Fire engines at the scene at Southend Airport
Image:
Fire engines at the airport

David Burton-Sampson, the MP for Southend West and Leigh, posted on social media: “I am aware of an incident at Southend Airport. Please keep away and allow the emergency services to do their work.

“My thoughts are with everyone involved.”

Local councillor Matt Dent said on X: “At present all I know is that a small plane has crashed at the airport. My thoughts are with all those involved, and with the emergency services currently responding to the incident.”

This breaking news story is being updated and more details will be published shortly.

Please refresh the page for the latest version.

You can receive breaking news alerts on a smartphone or tablet via the Sky News app. You can also follow us on WhatsApp and subscribe to our YouTube channel to keep up with the latest news.

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Meredith Kercher’s killer faces new trial over sexual assault allegations

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Meredith Kercher's killer faces new trial over sexual assault allegations

The man convicted of the murder of British student Meredith Kercher has been charged with sexual assault against an ex-girlfriend.

Rudy Guede, 38, was the only person who was definitively convicted of the murder of 21-year-old Ms Kercher in Perugia, Italy, back in 2007.

He will be standing trial again in November after an ex-girlfriend filed a police report in the summer of 2023 accusing Guede of mistreatment, personal injury and sexual violence.

Guede, from the Ivory Coast, was released from prison for the murder of Leeds University student Ms Kercher in 2021, after having served about 13 years of a 16-year sentence.

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Since last year – when this investigation was still ongoing – Guede has been under a “special surveillance” regime, Sky News understands, meaning he was banned from having any contact with the woman behind the sexual assault allegations, including via social media, and had to inform police any time he left his city of residence, Viterbo, as ruled by a Rome court.

Guede has been serving a restraining order and fitted with an electronic ankle tag.

The Kercher murder case, in the university city of Perugia, was the subject of international attention.

Ms Kercher, a 21-year-old British exchange student, was found murdered in the flat she shared with her American roommate, Amanda Knox.

The Briton’s throat had been cut and she had been stabbed 47 times.

(L-R) Raffaele Sollecito, Meredith Kercher and Amanda Knox. Pic: AP
Image:
(L-R) Raffaele Sollecito, Meredith Kercher and Amanda Knox. File pic: AP

Ms Knox and her then-boyfriend, Raffaele Sollecito, were placed under suspicion.

Both were initially convicted of murder, but Italy’s highest court overturned their convictions, acquitting them in 2015.

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RWAs build mirrors where they need building blocks

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RWAs build mirrors where they need building blocks

RWAs build mirrors where they need building blocks

Most RWAs remain isolated and underutilized instead of composable, DeFi-ready building blocks. It’s time to change that.

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