Powell Reiterates Fed’s Cautious Path to CBDC
At an IMF panel this morning, FRB Chairman Powell reiterated that the U.S. has made no decision about CBDC launch, echoing the cautious approach announced recently in August by Gov. Brainard (see Client Report CBDC3).

FRB-NY: SLR Raises Market-Leverage Risk
Continuing a series on the structural impact of post-crisis rules, the Federal Reserve Bank of New York’s blog today features a post on asset correlations between hedge funds and broker-dealers.

Fed CRA Deadline Ensures No New Reg Until at Least Late 2021
The Federal Register today includes the Fed’s ANPR to craft a new CRA framework. As noted in our in-depth report (see FSM Report CRA30) the initial construct proposed is aimed at eventually crafting an inter-agency construct and thus raises many questions on which comment is requested, but also includes enough specificity to suggest that the Fed has clear views on what that should be.

Clyburn to FHFA: Automate Forbearance for Delinquent Borrowers
Select Subcommittee on the Coronavirus Crisis Chair Clyburn (D-SC) late Friday sent a letter to Director Calabria urging FHFA to require mortgage servicers to automate forbearance for borrowers who are more than sixty days delinquent and produce documents he says have been withheld by FHFA.

Dems Demand Tougher Bank M&A Reviews
In separate letters sent late Friday, Sen. Warren (D-MA) and a group of House Democrats urged DoJ to toughen standards for bank mergers as it updates its bank M&A guidelines (see Client Report MERGER5).

Unbanked/Under-Served? Rates at Record Low, but Reversal Likely
The FDIC today released data indicating that the share of unbanked households declined to a record low in June of 2019.