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Nov 5, 2015

Fed, IMF officials say bank culture still poses stability risk

NEW YORK, Nov 5 (Reuters) – The culture within the world’s
biggest banks remains a possible source of instability seven
years after the depths of the financial crisis, and more work is
needed to reform the underlying causes of misconduct, top U.S.
Federal Reserve and International Monetary Fund officials said
on Thursday.

New York Fed President William Dudley kicked off a
conference of bankers and regulators with a warning that public
trust in financial institutions has been compromised, and he
urged Wall Street to focus less on seeking out “bad apples” and
more on improving “apple barrels.”

Nov 5, 2015

Insight – Feeling ignored, Fed jolts markets to prime them for lift-off

NEW YORK/SAN FRANCISCO/WASHINGTON (Reuters) – When the U.S. Federal Reserve tweaked its policy statement last week and put a December rate rise squarely back in play, it took a calculated gamble that reaching for an old and controversial policy tool would get financial markets’ attention.

That gamble was to specifically reference the next policy meeting as a date of a possible lift-off, and it had the desired effect: investors quickly rolled back bets that rates would stay near zero until next year.

Nov 5, 2015

Feeling ignored, Fed jolts markets to prime them for lift-off

NEW YORK/SAN FRANCISCO/WASHINGTON (Reuters) – When the U.S. Federal Reserve tweaked its policy statement last week and put a December rate rise squarely back in play, it took a calculated gamble that reaching for an old and controversial policy tool would get financial markets’ attention.

That gamble was to specifically reference the next policy meeting as a date of a possible lift-off, and it had the desired effect: investors quickly rolled back bets that rates would stay near zero until next year.

Nov 2, 2015

Morgan Stanley CEO Gorman elected to N.Y. Fed board

NEW YORK (Reuters) – The Federal Reserve’s New York branch
on Monday named James Gorman, the chief executive of Wall Street
bank Morgan Stanley, to its board of directors for a
three-year term beginning in January.

The appointment, however, may raise questions after the New
York Fed, the central bank’s eyes and ears on Wall Street, was
criticized in recent years for what some see as a too-cozy
relationship with the big banks it supervises.

Oct 28, 2015

Stage set for Yellen to cut through rate-hike noise

NEW YORK (Reuters) – After putting a December interest rate rise back on the agenda, Janet Yellen may now need to reinforce that message in coming weeks by “crowding out” dissenting voices in the Federal Reserve and navigating through possibly contradictory economic data.

Markets rolled back bets that rates would remain pegged near zero until next year after the Fed’s statement ending a two-day policy meeting made a specific reference to the next Dec. 15-16 session as an opportunity to consider a rate rise.

Oct 20, 2015

Regulators mull reforms to fragile U.S. bond markets

NEW YORK, Oct 20 (Reuters) – U.S. government regulators,
mulling increasing electronic trading in the bond markets, said
on Tuesday reforms may be needed that emphasize stability over a
“never-ending competition for more speed.”

Following an unexplained flash rally in the U.S. Treasuries
market on Oct. 15, 2014 that saw volatile swings in bond prices,
regulators have ramped up scrutiny of the changing structure of
the nearly $13-trillion Treasuries market.

Oct 15, 2015

Negative rates work their way on to radar for a few at the Fed

NEW YORK, Oct 15 (Reuters) – Signs the U.S. economy is
feeling the drag from a slowdown overseas is raising questions
about the Federal Reserve’s plan to lift rates this year, and
even prompting some officials to ponder what tools it may need
if things get worse.

Consumer prices in the world’s largest economy recorded
their biggest drop in eight months in September as gasoline
prices slumped. Also last month, U.S. producer prices logged
their biggest fall in eight years.

Oct 9, 2015

Fed still plans rate hike this year, but not committed

NEW YORK (Reuters) – Two influential Federal Reserve policymakers on Friday reinforced the message that an interest rate hike is coming before year end, saying that while they expect to move, things could change that force the U.S. central bank to delay again.

New York Fed President William Dudley and Dennis Lockhart of the Atlanta Fed each said they expected a policy tightening in 2015 despite some recent red flags. But they clearly left the door open to waiting until 2016 if it looks like the U.S. economy is threatened by a global slowdown.

Oct 9, 2015

Fed’s Lockhart still sees 2015 rate hike despite recent red flags

NEW YORK (Reuters) – A U.S. interest rate hike is still probably coming in October or December despite some conflicting economic signals, a top Federal Reserve official said on Friday, reinforcing the central bank’s message over the last few weeks.

Atlanta Fed President Dennis Lockhart, a well-respected centrist and a voter on the Fed’s monetary policy committee this year, said an international slowdown and last month’s weak U.S. jobs report show there is “a touch more downside risk” to the U.S. economy.

Oct 9, 2015

Lockhart still sees 2015 rate hike despite recent red flags

NEW YORK (Reuters) – A U.S. interest rate hike is still probably coming in October or December despite some conflicting economic signals, a top Federal Reserve official said on Friday, reinforcing the central bank’s message over the last few weeks.

Atlanta Fed President Dennis Lockhart, a well-respected centrist and a voter on the Fed’s monetary policy committee this year, said an international slowdown and last month’s weak U.S. jobs report show there is “a touch more downside risk” to the U.S. economy.