Fed PolicyInterest Rate Risk
New normal: Tight credit conditions, high funding costs, and less Fed guidance
Bank and credit union CFOs must navigate a more divided Fed that meets less often, while delinquencies and funding costs remain high.
Alexander Demyanets
Alexander has modeled interest rate and other economic scenarios for financial institutions and regulators for more than twenty years. He writes about economic policy and macro trends, and how they impact capital markets and banks and credit union balance sheets.
Experience
- Former Senior Economist, U.S. Treasury and Bank of England
- Former Executive Director, Goldman Sachs
- 20+ years as a rates strategist and economic modeler
Education
- Ph.D. Economics, Johns Hopkins University & The Wharton School
Posts by Alexander Demyanets
Fed PolicyInterest Rate Risk
The Fed is sending hawkish signals. What scenarios should your bank or credit union be prepared for?
The Fed raised rates to 3.75–4% and signaled for more. The curve is bear-flattening, which squeezes margins and equity value at once.
Fed PolicyInterest Rate Risk
Fed Chair Warsh Is Stuck Between a Rock and a Trump Place
The 10-year Treasury has breached 5%, core inflation is rising and markets are expecting a hike. What a cornered Fed means for bank and credit union balance sheets.
