Waller Separates Monetary, Stability Policy
FRB Gov. Waller today defended recent rate hikes against criticism that they undermine financial stability, noting that monetary and stability policy are inter-related but must generally be addressed with different tools.
Brown-Scott Clawback Bill Adds Enforcement Teeth
In his first legislative mark-up since assuming the chairmanship in 2021, Banking Committee Chairman Brown (D-OH) will convene voting next Wednesday on compromise compensation-reform legislation on which he and Ranking Member Scott (R-SC) have agreed.
Hsu Warns of Tokenized-Settlement, AI Risk
Acting Comptroller Hsu’s speech today highlights both the benefits and risks of tokenization and AI, urging parallel development of new technologies and essential controls.
Democrats Try Again To Mandate TILA, CFPB Small-Business Authority
Banking Committee member Sen. Menendez (D-NJ) yesterday introduced legislation (S. 2021) along with Small Business Committee Ranking Member Velazquez (D-NY) (H.R. 4192) to extend TILA protections to small business lending, also giving the CFPB authority in this sector.
Fed Fears Little Systemic Risk
The financial-stability discussion in today’s report from the Federal Reserve ahead of next week’s hearings generally reiterates conclusions from the most recent Fed financial-stability report (see Client Report SYSTEMIC96): banks are generally sound and resilient and, despite MMF worries, most other vulnerabilities are of only moderate systemic concern.
Fed’s Long-Awaited Master-Account Database Goes Live
Conceding to a long-resisted and now statutory demand (see FSM Report PAYMENT25), the Federal Reserve today published the first database detailing who has or seeks access to Reserve Bank master accounts and services.
LIBOR Transition Worries FSOC
The readout from FSOC’s meeting this afternoon makes it clear that the LIBOR transition was the top concern, but the brief note provides no insight into FSOC’s thinking beyond reiterating that it “expects” entities to be operationally ready.