Article Image

IPFS News Link • Housing

FDIC Data Contradicts Fed Chair Powell:

• Wall Street On Parade

By Pam Martens and Russ Martens: March 11, 2024 ~

On Sunday, February 4, the CBS program 60 Minutes aired a taped interview with Federal Reserve Chairman Jerome Powell. The actual interview had occurred three days earlier and was conducted by 60 Minutes interviewer Scott Pelley. Two noteworthy things happened in connection with that interview: First, CBS did not indicate above the transcript of the interview that Powell's comments had been materially shortened in the program that aired on TV; secondly, Powell calls the real estate problem at the largest banks "manageable" while shifting the more serious real estate loan problem to "smaller and regional banks."

Below is what Powell had to say about problem real estate loans at U.S. banks in the 60 Minutes' interview. The bracketed bold text is what is in the transcript but did not air in the broadcasted program on television. (Scroll to 8 minutes and 20 seconds at this link to listen to the relevant portion of the program that aired.)

Past Due Loans on Commercial Real Estate