Thomas M. Hoenig

Dec 10, 2024 | finregrag.com | Thomas M. Hoenig

The market is assigning high odds that the Federal Open Market Committee (FOMC) will lower its policy rate a quarter point on December 18, to 4.25 percent. A better choice would be for it to do nothing. Why? To begin, inflation is above the FOMC’s target rate of 2 percent. October CPI inflation was running at an annual rate 2.6 percent, and PCE inflation, the FOMC’s preferred inflation measure, was 2.3 percent.

Nov 19, 2024 | wsj.com | Thomas M. Hoenig

Conflict between the White House and the Federal Reserve is hardly new. It dates at least as far back as Harry S. Truman’s administration. During World War II, the Fed held down interest rates to limit the financing costs of the war. With the war’s end and the removal of price controls, and with the outbreak of the Korean War, inflation accelerated, and the Fed needed to raise rates to keep it under control. A furious Truman slowed the effort.

Nov 12, 2024 | americanbanker.com | Thomas M. Hoenig |Stephen MIller |Stephen Miller

To the editor:In a Nov. 1 BankThink piece, (Don't ask for lower capital requirements; demand better capital rules, Oct. 31) Allen Puwalski takes issue with an argument we made elsewhere concerning bank capital. However, his title describes our own point. A simpler, higher-equity-capital-to-total-asset ratio requirement would be better than current rules. Banks are not overcapitalized.

Jun 10, 2024 | finregrag.com | Thomas M. Hoenig

The following is a public comment that was submitted to the Federal Deposit Insurance Corporation (FDIC) by Sheila Bair, Former Chair, FDIC and Thomas Hoenig, Former Vice Chair, FDIC in response to the FDIC’s proposed Statement of Policy (SOP) on Bank Merger Transactions, RIN 3064-ZA31. We welcome the opportunity to comment on the proposed Statement of Policy (SOP) on Bank Merger Transactions that is relevant to all FDIC supervised insured depository institutions (IDIs).

Jun 10, 2024 | mercatus.org | Thomas M. Hoenig

The following is a public comment that was submitted to the Federal Deposit Insurance Corporation (FDIC) by Sheila Bair, Former Chair, FDIC and Thomas Hoenig, Former Vice Chair, FDIC in response to the FDIC’s proposed Statement of Policy (SOP) on Bank Merger Transactions, RIN 3064-ZA31. We welcome the opportunity to comment on the proposed Statement of Policy (SOP) on Bank Merger Transactions that is relevant to all FDIC supervised insured depository institutions (IDIs).