Fed Adopts Cautious Approach Despite PNC/BBVA Approval
Although the Federal Reserve Board late Friday announced approval of PNC’s acquisition of BBVA USA, Gov. Brainard abstained due to concerns about growing concentration in the large-regional sector and potential systemic risk.

HFSC Prioritizes True-Lender Action; Interchange, Payment Proposals Also on Radar
Ahead of HFSC’s hearing this Wednesday with FRB Vice Chair Quarles and the heads of the OCC, FDIC, and NCUA, the committee memo features consideration of a resolution to nullify the OCC’s controversial true-lender rule (see FSM Report PREEMPT35), positioning it for rapid HFSC action ahead of floor consideration and likely passage.

FHFA Stands Firm Against More CRT
FHFA today issued its annual report on GSE credit-risk transfers, providing an array of data on the market from February 2020 to February of this year.

Agencies Defer Action on AI Assessment
The banking agencies today announced that they will extend the comment period on their joint RFI on AI until July 1.

FDIC Begins Review of Digital Asset Landscape
The FDIC today issued an RFI on digital assets, laying out uses and seeking comment on IDI activities – current or contemplated – and future demand. Identification of the entities that may potentially be large drivers of such services is also requested.