Risk Sentiment Receives a Jolt as CNBC Reports Potential Purchasers for FRC Stock

• CNBC cites sources in reporting that advisors have lined up potential purchasers of new First Republic stock.
• First Republic headline seemingly helping trigger some risk on across currencies, equity markets as the e-mini S&P goes bid to briefly top 4,100 and USD/JPY adds around 50 pips to trade at Y133.80.

Piece reads:

• Bankers’ pitch to save First Republic: Help us now, or pay more later when it fails
• Advisors to First Republic will attempt to cajole the big U.S. banks who’ve already propped it up into doing one more favor, CNBC has learned.
• The pitch is something like this: Purchase bonds from First Republic at above-market rates for a loss of a few billion dollars. If not, these same banks will face roughly $30 billion in FDIC fees when First Republic fails.