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5 things to know before the stock market opens Wednesday, March 29

5 things to know before the stock market opens Wednesday, March 29
5 things to know before the stock market opens Wednesday, March 29


Stock market choppiness reflects uncertainty among investors, says Bespoke's Paul Hickey

Here are the most important news items that investors need to start their trading day:

1. Tripped up

2. It could have been worse

Federal Reserve Board Vice Chair for Supervision Michael S. Barr (R) testifies before the Senate Banking, Housing and Urban Affairs Committee March 28, 2023 in Washington, DC. 

Win Mcnamee | Getty Images

The run on Silicon Valley Bank sent shockwaves through the global banking system. And it could have been worse, according to the Federal Reserve’s vice chair of supervision, Michael Barr. After depositors pulled $42 billion out of SVB on March 9, another $100 billion in deposits were set to be pulled March 10, Barr told a Senate hearing on the bank’s collapse. That would have wiped out nearly all of the bank’s deposits. Instead, regulators stepped in to shut down the bank and eventually the FDIC guaranteed all the deposits. Barr, along with FDIC Chairman Martin Gruenberg and Treasury official Nellie Liang, will speak to House lawmakers Wednesday.

3. Another charge for SBF

Former FTX Chief Executive Sam Bankman-Fried, who faces fraud charges over the collapse of the bankrupt cryptocurrency exchange, exits the Manhattan federal court in New York City, February 16, 2023.

Eduardo Munoz | Reuters

This isn’t the payoff Sam Bankman-Fried was hoping for. Federal prosecutors on Tuesday added another charge to the fallen crypto king’s pile of alleged crimes: bribery. The former FTX boss, also known as SBF, paid at least $40 million in bribes to “one or more Chinese officials” in an attempt to unfreeze some accounts belonging to SBF’s Alameda Research. SBF and his cohorts then used the unlocked funds to fuel their dubious business, according to prosecutors. Bankman-Fried, who is living with his parents in California under tight bail conditions, has pleaded not guilty to multiple federal crimes. His trial is due to begin in October.

4. Dimon to be interviewed in Epstein suits

Jamie Dimon, chairman and chief executive officer of JPMorgan Chase & Co., during a Senate Banking, Housing, and Urban Affairs Committee hearing in Washington, D.C., US, on Thursday, Sept. 22, 2022.

Al Drago | Bloomberg | Getty Images

JPMorgan Chase CEO Jamie Dimon has agreed to sit for a deposition in two lawsuits against the bank regarding the late child sex trafficker and financier Jeffrey Epstein, a source familiar with the matter told CNBC’s Hugh Son. Epstein – who had powerful friends such as Microsoft’s Bill Gates, Britain’s Prince Andrew, and former U.S. Presidents Bill Clinton and Donald Trump – was tied to JPMorgan mainly through his relationship with former top executive Jes Staley. JPMorgan, in turn, has sued Staley over his link to Epstein. The bank is seeking about $80 million in pay clawbacks – and for Staley to be responsible for any payouts the company must make as a result of the lawsuits.

5. It’s time for Sanders vs. Schultz

Senator Bernie Sanders (I-VT) (L), Starbucks CEO Howard Schultz

Reuters (L) | Getty Images (R)

Call it the Battle of Brooklyn. In this corner, Midwood’s Bernie Sanders, the pro-labor U.S. senator who represents Vermont. And in this corner, Canarsie’s Howard Schultz, the anti-union former CEO of Starbucks. The two will go toe-to-toe during a Senate Health, Education, Labor and Pensions Committee hearing, which starts at 10 a.m. ET Wednesday. Starbucks initially resisted letting Schultz, who remains on the coffee company’s board, testify in defense of the company’s labor practices. Then Sanders, who chairs the committee, threatened a subpoena, which pushed Starbucks and Schultz to acquiesce. Sanders has accused Schultz of spearheading a union-busting campaign as baristas at nearly 300 Starbucks cafes have voted to organize. Schultz, who is proud of Starbucks’ otherwise progressive reputation, has rejected that criticism. And who knows? Maybe he’ll bring in some olive oil coffee to break the ice at the hearing.

– CNBC’s Sarah Min, Hugh Son, MacKenzie Sigalos, Rohan Goswami and Amelia Lucas contributed to this report.

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