To improve the swap lines’ effectiveness in providing U.S. dollar funding, the Federal Reserve and five central banks have agreed to increase the frequency of seven-day maturity operations from weekly to daily, the Fed announced Sunday.
The Federal Reserve today released a set of FAQs providing details on its newly announced Bank Term Funding Program to provide a liquidity backstop to eligible depository institutions.
After two bank failures on Friday and Sunday, the first since 2020, federal regulators today announced actions to support bank liquidity and address consumer confidence in deposits not subject to FDIC insurance.
The current environment of swiftly rising interest rates, combined with tighter financial conditions, greater market volatility and slowing global growth “could test many of the long-standing and growing vulnerabilities in the global financial system,” the Financial Stability Board said.
Regulatory capital, together with other risk metrics, is a better assessment than tangible-based capital measures when assessing bank conditions.
The Treasury Department issued a request for information on steps it could take to improve post-trade data transparency in the Treasury securities market.
The FDIC today said that the banking environment improved in 2021 as the economy recovered from a period of economic hardship the year prior.
Testifying before the Senate Banking Committee, Michael Barr—President Biden’s nominee to serve as Federal Reserve vice chairman for supervision—said that the “Fed’s authorities are quite limited [and] narrow” with regard to accelerating the transition to a lower carbon economy.
The FDIC this week released three new frequently asked questions on its brokered deposits rule, which took effect in April 2021.
The financial condition of the banking system remained strong and improved during the first half of 2021, despite some lingering concerns, the Federal Reserve found in its latest supervision and regulation report released today.