Squawk Pod

Joe Kernen and Andrew Ross Sorkin digest the chaotic week that was: banks in crisis, markets in tumult, and the Fed under pressure. Lazard’s Peter Orszag unpacks the instability in our financial ecosystem and the action it may prompt from the Federal Reserve in next week’s FOMC meeting. ProPublica’s Robert Faturechi discusses his latest investigation revealing never-before-seen IRS records that show CEOs are sometimes making multimillion-dollar stock bets—and doing so with some very lucky timing. Plus, Emmanuel Macron is making a big decision on retirement in France, much to the distress of his populace.  In this episode:Peter Orszag, @porszagRobert Faturechi, @RobertFaturechiJoe Kernen, @JoeSquawkAndrew Ross Sorkin, @andrewrsorkinKlaire Odumody, @klairemarie Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

17 Maalis 202335min

Credit Suisse gets a lifeline! CNBC’s Geoff Cutmore reports on the Swiss Central Bank’s backstop for banking contagion, and CNBC’s Steve Liesman explores how this week of financial instability affects the chances of another immediate rate hike from the Federal Reserve. Today’s podcast further investigates the shockwaves from the Silicon Valley and Signature bank collapses, first with the congressman who represents Silicon Valley itself: Rep. Ro Khanna (D-CA). Rep. Khanna argues for more banking regulation and considers the culture that could have pushed these banks to the brink. Former 4 star General Stanley McChrystal also unpacks the fallout; in his current role as a CEO consultant, Gen. McChrystal says, the best crisis response is drafted before a crisis even hits. Plus, the US government is threatening action against TikTok, and Virgin Orbit is coming back to earth, and its staff–and stock–are taking a hit.  In this episode:Ro Khanna, @RepRoKhannaAndrew Ross Sorkin, @andrewrsorkinKelly Evans, @KellyCNBCSteve Liesman, @steveliesmanGeoff Cutmore, @GeoffCutmoreKlaire Odumody, @klairemarie Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

16 Maalis 202331min

After the collapse of Silicon Valley and Signature banks and the subsequent regional bank crisis in the US, European banks are now rattling the global markets. Credit Suisse stock has hit an all time low, and global investors fear that banking contagion is spreading. Stateside, CNBC’s Eamon Javers reports, the Department of Justice and the SEC are investigating the SVB failure. Allianz and Gramercy advisor and president of Queens’ College Mohamed El-Erian unpacks the Fed’s long term policies that have led us here, the real picture of financial stability, and the rocky road ahead. Also digesting the banking contagion: the CEO of BlackRock Larry Fink is warning investors that more bank seizures could be coming and that inflation’s going to stay high. Plus, ChatGPT has reported its latest model has exhibited ‘human level’ performance on standardized testing like the bar exam and the SAT.  In this episode:Eamon Javers, @EamonJaversMohamed El-Erian, @elerianmAndrew Ross Sorkin, @andrewrsorkinMelissa Lee, @MelissaLeeCNBCKlaire Odumody, @klairemarie Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

15 Maalis 202330min

The Federal Reserve’s next rate hike is around the corner–or is it? The latest inflation report, last month’s Consumer Price Index, came in hot but not worse than expected. CNBC’s Steve Liesman considers whether it’s a stable enough report to merit a pause on the Fed’s rate hiking spree. Another concern for the Fed: instability in the financial system. Markets and regulators are digesting the second- and third-largest bank failures in U.S. history, and former CEO of Bridgewater Dave McCormick is asking whether the government’s Silicon Valley Bank depositor rescue set the correct economic precedent. In a wide-ranging interview, McCormick compares 2023’s bank backstops to the 2008 financial crisis and discusses the rest of the challenges facing the American economy. Plus, Delta CEO Ed Bastian says, air travel demand is strong, despite safety concerns and sky high ticket prices.  In this episode:Ed Bastian, @DeltaDave McCormick, @DaveMcCormickPAPhil Lebeau, @LebeaucarnewsSteve Liesman, @steveliesmanAndrew Ross Sorkin, @andrewrsorkinBecky Quick, @BeckyQuickKatie Kramer, @Kramer_Katie Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

14 Maalis 202333min

Did we dodge the bullet? Federal agencies on Sunday approved plans to safeguard depositors affected by the collapse of Silicon Valley Bank on Friday, and the Federal Reserve is creating a Bank Term Funding Program to secure financial institutions from instability amid the SVB failure. Squawk Box’s Becky Quick, Andrew Ross Sorkin and Steve Liesman discuss the near-miss, how government action prevented a broader financial crisis, and the moral hazard of the federal action.  Alexis Ohanian, venture capitalist and Reddit co-founder, describes the 72 hours of chaos experienced by young, start-up companies following the shutdown of Silicon Valley Bank.  The veteran entrepreneur who also funds early-stage companies said venture capitalists raised the alarm but should say “thank you” for the government backstop.  And, Camp cp-founder Ben Kaufman runs his business from the funds in his Silicon Valley Bank account; he shares the anxiety he felt over the weekend, looking for a cash infusion.  In this episode:Alexis Ohanian,@alexisohanianBen Kaufman, @benkaufmanSteve Liesman, @steveliesmanAndrew Ross Sorkin, @andrewrsorkinBecky Quick, @BeckyQuickKatie Kramer, @Kramer_Katie Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

13 Maalis 202336min

Job creation decelerated in February but was still stronger than expected despite the Federal Reserve’s efforts to slow the economy and bring down inflation. Jason Furman, professor at the Harvard Kennedy School of Government and former CEA chair, discussed the latest job report and what we should expect from the Fed regarding rake hikes, and more. SVB Financial, parent of Silicon Valley Bank, was unable to find a buyer before a bank run caused regulators to shut it down. SVB was trying to find a buyer and hired advisors to do so after attempts by the bank to raise capital failed. Priscilla Sims Brown, Amalgamated Bank CEO, discussed the company’s effort spearheading a merchant category code for gun stores, afer major credit card companies paused the effort.In this episode:Priscilla Sims Brown, @AmalgamatedBankRick Santelli, @SantelliRantsJason Furman, @jasonfurmanHugh Son, @Hugh_SonAndrew Ross Sorkin, @andrewrsorkinBecky Quick, @BeckyQuickKatie Kramer, @Kramer_Katie Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

10 Maalis 202324min

Salesforce is the latest tech powerhouse to join the ChatGPT mania, now offering Einstein GPT. The offering draws on OpenAI’s technology that’s taken the tech industry by storm. Salesforce Service Cloud CEO Clara Shih discusses the future of generative A.I., details behind the company’s contract with ChatGPT, and how much data goes back to ChatGPT. Credit and debit spending per household decelerated in February to 2.7% year-over-year according to Bank of America’s consumer spending data. Liz Everett Krisberg, head of the Bank of America Institute, discusses the state of the consumer, when more normal spending patterns will return, and more. Plus, CNBC’s Eamon Javers reports JPMorgan Chase is suing its former investment banking chief Jes Staley over his ties to disgraced former financier Jeffrey Epstein, alleging Staley is to blame for any legal fallout from a pair of lawsuits against the bank.In this episode:Clara Shih, @clarashihEamon Javers, @EamonJaversJoe Kernen, @JoeSquawkAndrew Ross Sorkin, @andrewrsorkinBecky Quick, @BeckyQuickZach Vallese, @ZachVallese Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

9 Maalis 202331min

Federal Reserve Chairman Jerome Powell testified to the Senate Banking, Housing and Urban Affairs Committee and warned that interest rates may rise higher than expected as inflation continues to show signs of increasing. The remarks led to a drop in stocks and an increase in Treasury yields. President Biden is set to propose a tax increase on those earning more than $400,000 to extend Medicare's solvency by 25 years. House Minority Leader Hakeem Jeffries joins to discuss how the tax increase will help the country’s healthcare system and how will affect taxpayers. Plus, the Democratic Minority Leader touches on the Fed’s fight against inflation and working with Republicans on bipartisan legislation. And, more on Warren Buffett’s addition of $350 million to Berkshire Hathaway’s already large investment in Occidental Petroleum.   In this episode:Hakeem Jeffries, @RepJeffriesJoe Kernen, @JoeSquawkBecky Quick, @BeckyQuickZach Vallese, @ZachVallese Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

8 Maalis 202332min