binance left Coinmarketcap net_left adver left

Factbox-Trump's Fed eased bank rules. Now what can Democrats roll back?

Wednesday, January 5, 2022

By Pete Schroeder

WASHINGTON (Reuters) - Under Republican leadership appointed by former President Donald Trump, the U.S. Federal Reserve eased a raft of bank rules and requirements introduced following the 2007-2009 financial crisis, arguing they were too blunt and onerous.

With a new Democratic nominee due to fill the Vice Chair for Supervision role vacated last month by Randal Quarles, who led the regulatory overhaul, the Fed is expected to take a hard look at reversing many changes of the past four years.

Here are some of the most contentious changes which Democrats, advocacy groups and the Fed's lone Democratic Governor Lael Brainard criticized for weakening financial system safeguards.

CAPITAL AND LIQUIDITY TAILORING

In 2018, Congress passed a law directing regulators to ease capital and liquidity requirements for all but the nation's largest banks, with lawmakers arguing that the post-crisis rules were too strict for smaller banks and were hurting the economy.

The Fed led the way in "tailoring" the rules. While the law only ordered relief for lenders with up to $250 billion in assets, Quarles used discretionary powers the law afforded the Fed to extend relief to banks with up to $700 billion in assets.

Quarles' successor is likely to reconsider that discretionary relief which could be reversed without crossing lawmakers, said analysts.

BANK 'LIVING WILLS'

The 2018 law also directed the Fed to reduce the frequency with which big banks must file so-called "living wills" detailing how they could be safely wound down in a crisis.

Again, Quarles went further than prescribed by Congress, allowing banks with up to $700 billion in assets to submit a full plan once every six years rather than annually as previously required.

'VOLCKER RULE' REWRITE

Implementing the "Volcker Rule", which curbs banks from engaging in speculative investments on their own account, has been among the most contentious regulatory projects to emerge from the financial crisis a decade ago.

Streamlining that hugely complex rule was a priority for Quarles when he joined the Fed, but it still took two-and-a-half years for the Fed and four other regulators to finish rewriting it.

Critics said the changes put the financial system at risk, but reviewing them would suck up a lot of resources, say analysts.

STRESS TESTS

Quarles made a number of changes to big banks' "stress tests", the annual health checks that are often the biggest constraint for lenders, determining their capital requirements.

He tried to make the tests, which banks long criticized as opaque and subjective, more predictable and transparent.

Most notably, he did away with the Fed's power to flunk banks based on "qualitative" rather than quantitative grounds.

Many analysts expect Quarles' replacement to toughen up this cornerstone of the Fed's bank oversight, potentially including by ordering lenders to set aside enough cash to cover eight quarters of future dividend payments, up from the current four.

INTER-AFFILIATE SWAPS

While many of Quarles' changes targeted smaller and mid-sized banks, one was a direct victory for Wall Street lenders.

In 2020 the Fed and other regulators agreed to reduce the amount of collateral banking organizations must set aside to safeguard certain swap trades between their affiliates, freeing up roughly $40 billion dollars, according industry estimates.

Critics have warned the change could encourage banks' to accumulate large risky swap positions and have said the Fed should review it.

Leave your comment
ig right nyse right Neteller adver right
APPROVED BROKERS
rakuten_main right top net_home_top ig_main right top Binance _ main right top fbs_main right top tifia_main right top
17-01-2022 20:13:20 (UTC+7)

EUR/USD

1.1417

+0.0010 (+0.09%)

Summary

↑ Buy

Moving Avg:

Buy (12)

Sell (0)

Indicators:

Buy (4)

Sell (3)

EUR/USD

1.1417

+0.0010 (+0.09%)

Summary

↑ Buy

Moving Avg:

Buy (12)

Sell (0)

Indicators:

Buy (4)

Sell (3)

GBP/USD

1.3656

+0.0010 (+0.08%)

Summary

Neutral

Moving Avg:

Buy (11)

Sell (1)

Indicators:

Buy (0)

Sell (6)

USD/JPY

114.51

-0.09 (-0.07%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (1)

Sell (7)

AUD/USD

0.7217

+0.0007 (+0.10%)

Summary

Neutral

Moving Avg:

Buy (8)

Sell (4)

Indicators:

Buy (0)

Sell (7)

USD/CAD

1.2505

-0.0014 (-0.12%)

Summary

↑ Sell

Moving Avg:

Buy (1)

Sell (11)

Indicators:

Buy (7)

Sell (0)

EUR/JPY

130.74

+0.03 (+0.02%)

Summary

Sell

Moving Avg:

Buy (6)

Sell (6)

Indicators:

Buy (1)

Sell (8)

EUR/CHF

1.0428

+0.0004 (+0.04%)

Summary

Neutral

Moving Avg:

Buy (11)

Sell (1)

Indicators:

Buy (2)

Sell (3)

Gold Futures

1,819.05

+2.55 (+0.14%)

Summary

↑ Buy

Moving Avg:

Buy (12)

Sell (0)

Indicators:

Buy (8)

Sell (2)

Silver Futures

23.038

-0.002 (-0.01%)

Summary

Neutral

Moving Avg:

Buy (7)

Sell (5)

Indicators:

Buy (1)

Sell (10)

Copper Futures

4.4268

-0.0062 (-0.14%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (10)

Crude Oil WTI Futures

83.72

-0.06 (-0.07%)

Summary

Sell

Moving Avg:

Buy (5)

Sell (7)

Indicators:

Buy (2)

Sell (5)

Brent Oil Futures

86.52

-0.04 (-0.05%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (1)

Sell (9)

Natural Gas Futures

4.268

+0.014 (+0.33%)

Summary

↑ Buy

Moving Avg:

Buy (8)

Sell (4)

Indicators:

Buy (8)

Sell (0)

US Coffee C Futures

239.65

+2.65 (+1.12%)

Summary

↑ Buy

Moving Avg:

Buy (11)

Sell (1)

Indicators:

Buy (5)

Sell (3)

Euro Stoxx 50

4,302.14

+29.95 (+0.70%)

Summary

↑ Sell

Moving Avg:

Buy (1)

Sell (11)

Indicators:

Buy (0)

Sell (8)

S&P 500

4,662.85

+3.82 (+0.08%)

Summary

↑ Buy

Moving Avg:

Buy (9)

Sell (3)

Indicators:

Buy (7)

Sell (2)

DAX

15,933.72

+50.48 (+0.32%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (7)

FTSE 100

7,611.23

+68.28 (+0.91%)

Summary

↑ Buy

Moving Avg:

Buy (12)

Sell (0)

Indicators:

Buy (5)

Sell (2)

Hang Seng

24,218.03

-165.29 (-0.68%)

Summary

↑ Buy

Moving Avg:

Buy (12)

Sell (0)

Indicators:

Buy (8)

Sell (0)

US Small Cap 2000

2,161.55

+0.07 (+0.00%)

Summary

↑ Buy

Moving Avg:

Buy (8)

Sell (4)

Indicators:

Buy (6)

Sell (2)

IBEX 35

8,838.70

+32.10 (+0.36%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (10)

BASF SE NA O.N.

68.140

+0.030 (+0.04%)

Summary

Neutral

Moving Avg:

Buy (6)

Sell (6)

Indicators:

Buy (3)

Sell (3)

Bayer AG NA

52.82

+0.23 (+0.44%)

Summary

↑ Buy

Moving Avg:

Buy (11)

Sell (1)

Indicators:

Buy (5)

Sell (3)

Allianz SE VNA O.N.

227.05

+0.05 (+0.02%)

Summary

↑ Buy

Moving Avg:

Buy (12)

Sell (0)

Indicators:

Buy (10)

Sell (1)

Adidas AG

252.65

+0.30 (+0.12%)

Summary

↑ Buy

Moving Avg:

Buy (8)

Sell (4)

Indicators:

Buy (10)

Sell (0)

Deutsche Lufthansa AG

7.241

0.000 (0.00%)

Summary

↑ Sell

Moving Avg:

Buy (1)

Sell (11)

Indicators:

Buy (0)

Sell (11)

Siemens AG Class N

146.00

+0.14 (+0.10%)

Summary

Neutral

Moving Avg:

Buy (6)

Sell (6)

Indicators:

Buy (5)

Sell (2)

Deutsche Bank AG

12.018

+0.064 (+0.54%)

Summary

↑ Buy

Moving Avg:

Buy (10)

Sell (2)

Indicators:

Buy (10)

Sell (1)

 EUR/USD1.1417↑ Buy
 GBP/USD1.3656Neutral
 USD/JPY114.51↑ Sell
 AUD/USD0.7217Neutral
 USD/CAD1.2505↑ Sell
 EUR/JPY130.74Sell
 EUR/CHF1.0428Neutral
 Gold1,819.05↑ Buy
 Silver23.038Neutral
 Copper4.4268↑ Sell
 Crude Oil WTI83.72Sell
 Brent Oil86.52↑ Sell
 Natural Gas4.268↑ Buy
 US Coffee C239.65↑ Buy
 Euro Stoxx 504,302.14↑ Sell
 S&P 5004,662.85↑ Buy
 DAX15,933.72↑ Sell
 FTSE 1007,611.23↑ Buy
 Hang Seng24,218.03↑ Buy
 Small Cap 20002,161.55↑ Buy
 IBEX 358,838.70↑ Sell
 BASF68.140Neutral
 Bayer52.82↑ Buy
 Allianz227.05↑ Buy
 Adidas252.65↑ Buy
 Lufthansa7.241↑ Sell
 Siemens AG146.00Neutral
 Deutsche Bank AG12.018↑ Buy
Mua/Bán 1 chỉ SJC
# So hôm qua # Chênh TG
SJC Eximbank6,120/ 6,160
(0/ 0) # 1,150
SJC HCM6,110/ 6,170
(0/ 0) # 1,160
SJC Hanoi6,110/ 6,172
(0/ 0) # 1,162
SJC Danang6,110/ 6,172
(0/ 0) # 1,162
SJC Nhatrang6,110/ 6,172
(0/ 0) # 1,162
SJC Cantho6,110/ 6,172
(0/ 0) # 1,162
Cập nhật 17-01-2022 20:13:23
Xem lịch sử giá vàng SJC: nhấn đây!
ↀ Giá vàng thế giới
$1,819.90+3.420.19%
Live 24 hour Gold Chart
ʘ Giá bán lẻ xăng dầu
Sản phẩmVùng 1Vùng 2
RON 95-IV2400024480
RON 95-II,III2390024370
E5 RON 92-II2291023360
DO 0.05S1838018740
DO 0,001S-V1873019100
Dầu hỏa1719017530
ↂ Giá dầu thô thế giới
WTI$83.68-0.03-0.04%
Brent$85.99+0.10.11%
$ Tỷ giá Vietcombank
Ngoại tệMua vàoBán ra
USD22.540,0022.850,00
EUR25.234,8826.649,42
GBP30.246,4531.537,99
JPY192,66203,94
KRW16,5020,10
Cập nhật lúc 08:08:57 18/01/2022
Xem bảng tỷ giá hối đoái
binance main right Fxpro Main Right aetos main right adver main right