Fed Focused on Payment-Infrastructure Reform/FedNow Implementation, with CBDC a Long Way Off
The president of the Federal Reserve Bank of Cleveland, Loretta Messer, today defended the payment system against many accusations that slowness and exclusions inhibited effective performance under the pandemic’s emergency conditions.
Quarles Targets MMFs in Global Reform Agenda
FRB Vice Chairman Quarles today highlighted concerns about nonbank financial intermediation, noting Fed actions have ensured large-bank resilience. He stated more directly than in the past that the Fed’s need to provide emergency support in March resulted in part from MMF fragility despite 2014 reform (See Client Report MMF13).
Powell Takes a Pounding
FRB Chairman Powell took tough questioning today at the House Select Subcommittee on the Coronavirus.