#2023-10, May 19, 2023

Massachusetts Bankers Attend ICBA Capital Summit

This week, a Massachusetts delegation of bankers attended the ICBA’s Capital Summit in Washington, D.C.  The Capital Summit is a critical component of the MBA’s advocacy work at the national level, and included time on Capitol Hill with our Congressional delegation and presentations by FDIC and Federal Reserve officials and Janet Yellen, Secretary of the United States Treasury.  We are grateful to Kevin Briggs (BayCoast Bank), Casey Brouthers (BayCoast Bank), Ed Doherty (StonehamBank), Kevin Goffe (Dean Bank), Brian Loveless (Cornerstone Bank), and Gary Vierra (BayCoast Bank) for their leadership and dedication to representing community banks throughout the Commonwealth of Massachusetts.

To read more about the Capital Summit lobbying priorities, please click here.

To review the agenda and speakers, please click here.

MBA will return to Washington DC November 7-9, 2023 for our joint Washington Visit with Connecticut and Rhode Island Bankers Associations. Look for more information soon! If you are interested in working with the MBA on these policy initiatives, please email Brad Papalardo today.

MBA Engagement with Regulatory Agencies Continues

The MBA also wants to raise the profile of an upcoming forum held jointly by the FDIC and OCC coming up on June 27^th and 28^th.  This unique forum will be a hybrid event, and attendance can be both in-person in Washington D.C. as well as virtual.  To read more about the 2023 Joint Mutual Forum, please click here.

Feature speakers for this event are FDIC Vice Chairman Travis Hill, and Acting Comptroller of the Currency Michael Hsu.  The Joint Mutual Forum is open to executives and members of the boards of directors of mutual banks and mutual holding companies for all charter types.

FOMC Commentary on June Meeting and Economic News

After previously raising the federal funds rate to 5 ¼ points at the May meeting of the Federal Open Market Committee (FOMC), Federal Reserve Governor Philip Jefferson indicated in comments on May 18^th that further rate increases are on the table for the June meeting.  Governor Jefferson indicated that inflation has come down substantially since last summer, core inflation remains too high and – by some measures – progress in containing inflation has been impeded in recent months. 

Governor Jefferson indicated that a “considerable amount” of economic data will be received and reviewed by the FOMC before its next meeting, while also stressing that Gross Domestic Product (GDP) has slowed considerably and demand in the open market is starting to demonstrate the effect of interest rates that are five points higher than a little over a year ago.  “History shows that monetary policy works with long and variable lags, and that a year is not a long enough period for demand to feel the full effect of higher interest rates”, Governor Jefferson said.

To review the FOMC calendar and recent transcripts from meetings, please click here.