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Jun 27, 2014

Ramp up role in Bitcoin, U.S. consumer agency told

WASHINGTON, June 27 (Reuters) – The U.S. Consumer Financial
Protection Bureau should play a bigger role in shielding people
against risks from virtual currencies such as Bitcoin, a
government watchdog said on Friday.

Federal regulators have started working together to gauge
the risk in these virtual currencies, which are generated by
computers outside the control of governments.

Jun 25, 2014

U.S. watchdog warns banks for rising risks in lending

WASHINGTON (Reuters) – A top U.S. regulator warned of the dangers of banks attracting clients by easing loan standards as the economy ticks up after the financial crisis.

Loosening underwriting standards was a problem in leveraged lending – a type of loan often used for private equity firms, which use the debt to buy companies, the Office of the Comptroller of the Currency said.

Jun 25, 2014

U.S. Fed to add new elements to bank stress tests – Tarullo

WASHINGTON, June 25 (Reuters) – The U.S. Federal Reserve
will continue to add new elements to its annual check-up of the
health of banks, Governor Daniel Tarullo said in a speech on
Wednesday, to keep up with change in the financial sector.

The Fed might for instance look closer at the risk of common
exposures among firms in the annual model run known as ‘stress
tests’, which Tarullo defended as the core element of the Fed’s
oversight of the banking sector.

Jun 24, 2014

U.S. House votes to loosen derivatives’ regulations with CFTC bill

WASHINGTON (Reuters) – The U.S. House of Representatives on Tuesday voted to weaken the Commodity Futures Trading Commission’s power to regulate swaps overseas and take other steps likely to loosen regulation in derivatives markets, a shift critics say could weaken market stability.

The bill, which reauthorizes the agency’s mandate, would reverse the CFTC’s tough rules on U.S. businesses’ swaps with counterparties abroad, requiring it to draw up a new regime together with the Securities and Exchange Commission.

Jun 24, 2014

Fed grants four banks more time to submit capital plans

WASHINGTON (Reuters) – The U.S. Federal Reserve on Tuesday gave four banks more time to resubmit capital distribution plans it had earlier objected to, saying this would give the firms more time to address capital planning weaknesses.

The four banks, which had asked for the extension, are Citigroup Inc (C.N: Quote, Profile, Research, Stock Buzz), HSBC North America Holdings, Inc. (HSBA.L: Quote, Profile, Research, Stock Buzz), RBS Citizens, Inc (RBS.L: Quote, Profile, Research, Stock Buzz) and Santander Holdings USA, Inc. (SAN.MC: Quote, Profile, Research, Stock Buzz).

Jun 24, 2014

U.S. House bill calls for CFTC to review metals warehouse oversight

WASHINGTON (Reuters) – The U.S. commodities regulator will have to carry out a review of metals warehousing if a bill before the U.S. House of Representatives is passed, the latest sign of intense U.S. political pressure over the controversy at the London Metal Exchange.

Representative Bob Goodlatte, who chairs the House Judiciary Committee, urged the CFTC to take a tougher stance on the LME when the House Committee on Agriculture in April approved a bill reauthorizing the agency’s mandate.

Jun 17, 2014

New U.S. CFTC head Massad picks top agency staffers

WASHINGTON, June 17 (Reuters) – The new head of the U.S.
derivatives regulator on Tuesday filled a number of senior
positions, picking a mix of newcomers from Capitol Hill and
veterans at the agency, which helps oversee the $710 trillion
swaps market.

Clark Ogilvie, who comes from the House Agriculture
Committee and its highest-ranking Democrat, Congressman Collin
Peterson, will become the new chief of staff at the Commodity
Futures Trading Commission.

Jun 17, 2014

Analysis – U.S. banks seen falling short of new debt funding rule

WASHINGTON (Reuters) – Wells Fargo, State Street and JPMorgan Chase & Co are below or almost at minimum capital thresholds expected to be included in a rule still being hammered out by U.S. regulators that’s meant to mitigate taxpayer losses in another financial crisis, according to a Reuters analysis.

U.S. banks are already required to hold equity equal to about 10 percent of their balance sheet to serve as a shock absorber to cover the risk of a sharp drop in the value of loans, investments and other assets on their books. Banks expect U.S. regulators to require them to hold another 10 percent in bonds with maturities of more than a year and other instruments, as part of the forthcoming rule.

Jun 17, 2014

U.S. banks seen falling short of new debt funding rule

WASHINGTON (Reuters) – Wells Fargo, State Street and JPMorgan Chase & Co are below or almost at minimum capital thresholds expected to be included in a rule still being hammered out by U.S. regulators that’s meant to mitigate taxpayer losses in another financial crisis, according to a Reuters analysis.

U.S. banks are already required to hold equity equal to about 10 percent of their balance sheet to serve as a shock absorber to cover the risk of a sharp drop in the value of loans, investments and other assets on their books. Banks expect U.S. regulators to require them to hold another 10 percent in bonds with maturities of more than a year and other instruments, as part of the forthcoming rule.

Jun 9, 2014

Fed’s Tarullo: widen bank directors’ fiduciary duties

WASHINGTON, June 9 (Reuters) – Making bank directors
responsible for regulatory goals as part of their fiduciary
duties could help make the financial system safer, a top U.S.
bank regulator said on Monday.

Expanding the fiduciary duties of bank boards would require
a change in corporate law, and was something beyond the
authority of the central bank, Federal Reserve Governor Daniel
Tarullo said in a speech.

    • 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."
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