Fed’s Vice Chair for Supervision Michael Barr said on Wednesday, according to Reuters. “It’s reasonable to wonder if SVB’s supervisors could have been more aggressive.”
“Fed will look at incoming data and financial conditions to make a meeting-by-meeting decision on rates,”
“We have significant authority to supervise firms appropriately.”
“A tiering strategy makes sense.”
“However, stronger capital and liquidity rules for banks with $100 billion or more are required.”
“Monetary policy decisions were foreshadowed and necessary to meet mandates.”
“Bank executives failed to manage simple interest-rate risk.”
Fed’s Barr Statement reaction on Market
Following these remarks, the US Dollar Index clings to modest daily recovery gains at 102.70.
