Banking
Top stories summarized by our editors
2/14/2019

The newly created District of Columbia Financial Services Regulatory Sandbox and Innovation Council explores the possibility of a financial-technology sandbox, says Stephen Taylor, commissioner of the district Department of Insurance, Securities and Banking. The advisory group must issue recommendations to Mayor Muriel Bowser in six months.

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Forbes
2/14/2019

Mark Calabria, who has been nominated to lead the Federal Housing Finance Agency, is expected to face questions today from the Senate banking committee about an overhaul of housing finance, his approach to Freddie Mac and Fannie Mae, and affordable housing. Democrats might challenge Calabria on the FHFA acting director's decision not to defend the constitutionality of the agency's leadership structure.

2/13/2019

Some populations and regions are not experiencing prosperity despite a strong US economy, Federal Reserve Chairman Jerome Powell said in a discussion with a small group of Mississippi Valley State University students. Powell cited the Community Reinvestment Act and the Fed's goal of maximum employment and low inflation as two of the tools used by the Fed to help economically distressed areas.

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Jerome Powell, Fed
2/13/2019

Proposed changes to the Consumer Financial Protection Bureau's small-dollar lending rule are "important and courageous," Comptroller of the Currency Joseph Otting said. Rules that allow responsible lenders to offer small-dollar loans will make the market better for everyone, he added.

2/13/2019

A bill that would have regulated student-loan servicers in Virginia has been voted down in the state's House Commerce and Labor Committee after passing the Senate. Companies such as Navient and Nelnet would have been required to obtain licenses from the state.

2/13/2019

Equifax CEO Mark Begor will appear at a hearing of the House Financial Services Committee on Feb. 26. The committee will discuss credit bureau accountability in light of the Equifax breach, revealed in 2017, that affected 147 million consumers.

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Fox Business
2/13/2019

Citigroup has moved past a stress test failure and allegations of fraud in its Mexico-based unit and is poised to grow, said John Gerspach, the bank's chief financial officer. The bank has a clear path for investments in private-bank offerings and treasury services, he said.

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Citigroup, John Gerspach
2/13/2019

Deposit pricing and loan growth will establish whether Wells Fargo's net interest income is up or down 2% this year, Chief Financial Officer John Shrewsberry says. Bankers at retail branches who refer customers to other services could lead loan growth, Shrewsberry says.

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Reuters
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Wells Fargo, John Shrewsberry
2/12/2019

A Federal Reserve Bank of New York survey finds that consumers were less optimistic about employment and income last month. However, respondents held views about inflation that were consistent with those of the past nine months, the Fed said.

2/12/2019

Banks may be less able to support markets in times of future financial turmoil, and central banks might be called upon to take that role, Paul Davies writes. The obligation for banks to adhere to higher capital requirements when markets fall is likely to make them more risk-averse even as investors look to them to act as market-makers, Davies says.

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Banks, Paul Davies