Chief Correspondent M&A and investment banking
Douwe's Feed
Nov 26, 2013

Litigation, mortgage demand weigh on U.S. bank profits in Q3 -FDIC

WASHINGTON, Nov 26 (Reuters) – Net income for U.S. banks
declined 3.9 percent year-on-year in the third quarter, a top
federal banking regulator said on Tuesday, weighed down by
litigation costs and a sharp drop in mortgage demand.

A $4 billion increase in litigation expenses at one
institution was the main cause for the drop, the Federal Deposit
Insurance Corp said. The agency did not name the bank.

Nov 22, 2013

U.S. Fed’s Tarullo wants more tools to counter shadow bank risks

WASHINGTON, Nov 22 (Reuters) – Global financial watchdogs
should have more policy tools and powers over firms such as
hedge funds to counter the risk of a devastating run on
investment banks, the U.S. Federal Reserve’s top regulator said
on Friday.

Fed Governor Daniel Tarullo unveiled new details of the
central bank’s plans to require banks to hold more capital if
they rely heavily on raising short-term cash from other banks,
and also pushed regulators writing global rules to do more.

Nov 22, 2013

Fed’s Tarullo details plans to counter bank runs

WASHINGTON (Reuters) – Global regulators should have more policy tools to counter the risk of devastating bank runs and should have powers over a wide array of market participants, U.S. Federal Reserve Governor Dan Tarullo said on Friday.

“There is a need to supplement prudential bank regulation with a third set of policy options in the form of regulatory tools that can be applied on a market-wide basis,” Tarullo said at a conference on shadow banking.

Nov 21, 2013

Bank trading rule under fire, Fed says could delay

WASHINGTON, Nov 20 (Reuters) – U.S. regulators are
considering whether to give banks more time to comply with the
Volcker rule, which bans them from gambling with their own
money, Federal Reserve Vice-Chair Janet Yellen said in a Nov. 18
letter.

Yellen, nominated by President Barack Obama to lead the Fed,
did not say whether an extension would be granted, but pointed
out that the law permits regulators to give banks up to three
one-year extensions if necessary.

Nov 18, 2013

U.S. CFTC prepared to adopt Volcker rule -chairman

NEW YORK, Nov 18 (Reuters) – The U.S. swaps watchdog is
preparing to adopt the Volcker rule, which would ban banks from
gambling in financial markets with their own money, but has not
yet reached agreement with four other agencies also working on
the provision, the agency’s head said on Monday.

The rule, named after former U.S. Federal Reserve Chairman
Paul Volcker, is one of the most controversial pieces of
post-crisis Wall Street reform. Treasury Secretary Jack Lew is
pushing for it to be finished this year.

Nov 15, 2013

House Republicans chide U.S. regulator over swap rules

WASHINGTON (Reuters) – Prominent Republicans in the House of Representatives on Friday threw their weight behind industry complaints that the nation’s derivatives regulator is confusing markets as it rushes through a plethora of new rules.

Frank Lucas, who chairs the House Agriculture Committee, said the way the Commodity Futures Trading Commission issued additional guidance on one of its rules this week was “irresponsible,” and that it raised legal questions.

Nov 14, 2013

Fed should be tougher on large banks, Yellen says

WASHINGTON, Nov 14 (Reuters) – Big banks can still borrow
more cheaply than competitors and should face tougher rules, the
prospective new head of the U.S. Federal Reserve told lawmakers
on Thursday.

Large banks may have an edge because markets think they have
government backing in times of crisis, said Janet Yellen,
President Barack Obama’s choice to be the Fed’s new head,
unveiling some new steps the central bank could take to
encourage those firms to downsize.

Nov 14, 2013

Yellen says Fed looking at possible commodities, bank rules

WASHINGTON, Nov 14 (Reuters) – The Federal Reserve may issue
new rules for Wall Street’s role in commodity markets once it
winds up a review of banks’ raw materials trading, the
prospective new head of the U.S. central bank told lawmakers.

The Fed said in July it was reviewing a decision to allow
regulated banks to trade in physical commodities, leading to
banks’ ownership of assets like oil storage tanks and power
plants and accusations of price manipulation.

Nov 12, 2013

Obama picks Massad to head new U.S. swaps regulator

WASHINGTON, Nov 12 (Reuters) – President Barack Obama plans
to name Timothy Massad, a lawyer who earned his spurs at the
country’s bank bailout program, as the next head of the U.S.
swaps regulator, according to a White House official.

At the Commodity Futures Trading Commission, Massad would
head an agency that was given vast new regulatory powers after
the 2007-09 crisis to rein in the uncontrolled trading of
complex derivatives – a $630 trillion market – on Wall Street.

Nov 12, 2013

Obama picks Massad as new head of swaps regulator

WASHINGTON (Reuters) – President Barack Obama plans to name Timothy Massad as the next head of the U.S. swaps regulator, a White House official said, picking a lawyer who earned his spurs at the nation’s bank bailout program.

At the Commodity Futures Trading Commission, Massad would head an agency that was given vast new powers after the 2007-09 crisis to rein in uncontrolled trading of complex derivatives – a $630 trillion market – on Wall Street.

    • About Douwe

      "I head up the Financial Services team in London. We're 20 journalists, covering M&A, IPOs, restructuring, banking, real estate, investment management, hedge funds and private equity. I've worked for Reuters in Zurich, Frankfurt and Amsterdam."
    • More from Douwe

    • Follow Douwe