The net stable funding ratio could restrain US bank lending as the US Federal Reserve attempts to normalise monetary policy says a blog post on the Clearing House website.
Liquidity
Associations warn over looming NSFR divergence
Associations voice concerns over differing interpretations of the net stable funding ratio by the US and EU regulators.
Switzerland to implement Basel liquidity ratios from 2018
Switzerland is to implement the net stable funding ratio from 2018 and consult on the liquidity coverage ratio for small banks
US banks need more capital says FDIC vice chairman
Banks need to hold more capital as US interest rate cycle turns upwards says Thomas Hoenig.
CFTC executive frustrated over liquidity drain
Commodity Futures Trading Commission frets over falling liquidity levels in key US markets.
ECB and Bundesbank differ over high-frequency traders
Two central banks have released reports on high-frequency trading taking differing stances on the issue demonstrating the challenges of properly regulating the activity.
US money market fund rule changes hit borrowing costs
Changes in US regulations for money market funds are creating unintended consequences by driving up dollar costs for banks, for the real economy and even in the huge derivatives complex. Meanwhile, European regulators are carefully monitoring US moves to help inform their own reforms.
Money market reforms delivering US rate rise
Reforms to US money market funds have already delivered a US interest rise and are making short-term funding more expensive for banks
Swap dealers given another month to comply with OTC rules
Aping the move by other regulators around the world, the US Commodity Futures and Trading Commission has delayed the implementation of OTC derivatives rules for swap dealers.
Leverage ratio could shift OTC markets back into the shadows
The leverage ratio risks pushing many over-the-counter derivatives back into opaque bilateral trading arrangements going against the wishes of regulators to see more of them centrally cleared.
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