Key takeaway: Federal Reserve Gov. Christopher Waller said he wants to consolidate the corporate functions of the 12 regional banks under one structure and create a role to oversee them. Expert quote: “Autonomy is a virtue, but not when it produces costly duplication that serves no one. We owe this to the American people we […]
Fed’s Waller calls for consolidating regional bank operations Read More »
Key insight: The fight over Federal Reserve independence has made confirming Warsh politically impossible, with one Republican senator blocking Kevin Warsh’s approval by the Senate Banking Committee. Forward look: Should the Senate not confirm a Fed chairman, it’s unclear who will helm the central bank when outgoing Fed Chair Jerome Powell’s term expires in mid-May.
Warsh insists he wouldn’t do Trump’s bidding as Fed chair Read More »
Russell Vought, acting director of the Consumer Financial Protection Bureau, is also director of the Office of Management and Budget. He testified on Capitol Hill April 15.Bloomberg News Processing Content Key insight: The CFPB’s draft plan substantially cuts back on supervision of nonbanks, which bankers oppose. What’s at stake: The plan mandates a radical reduction
Banks assail nonbank oversight in CFPB deregulatory push Read More »
Government-sponsored enterprise plans for legislatively-mandated credit score modernization drew mixed opinions Thursday as lawmakers held a House Financial Services Committee hearing on broader consumer data rules. Processing Content Dan Smith, president and CEO of the Consumer Data Industry Association, backed the idea of adding VantageScore at the GSEs to compete with FICO Classic, which has
Lawmakers spar over GSE credit score modernization plans Read More »
Key takeaway: Fed Gov. Stephen Miran said he could now foresee three short-term interest rate cuts instead of four, citing shifts in the underlying composition of headline inflation. Expert Quote: “What’s happened in the last couple of months before the war broke out is that even though headline inflation was going sideways, the underlying composition
Fed’s Miran downplays inflation risks, rethinks rate cuts Read More »
Key insight: The White House budget would cut funding from the Community Development Financial Institution Fund, as Vought outlined in a House Budget hearing. Forward look: The program historically has broad bipartisan support in Congress, including a large number of Republicans, but OMB can cause delays in disbursing CDFI funding, even if Congress fully funds
OMB’s Vought: CDFIs funded ‘woke’ programs Read More »
Key insight: President Donald Trump says he will remove Fed Chair Jerome Powell from the central bank if he does not leave after his term expires on May 16. Trump also said his administration will not drop its probe into Powell over renovations at the central bank’s headquarters. Expert quote: “I’ll have to fire him
Trump threatens to fire Fed Chair Powell if he doesn’t resign Read More »
Key insight: Sen. Elizabeth Warren, D-Mass., is pressing the Fed for records on Kevin Warsh’s actions during the 2008 financial crisis, arguing he downplayed subprime risks and helped funnel taxpayer-funded bailouts to major Wall Street firms. Forward look: Warsh’s path to confirmation is already complicated, with Democrats uniformly opposed and Republican Sen. Thom Tillis withholding
Exclusive: Warren to probe Warsh on his role in 2008 crisis Read More »
Assistant Attorney General for the Justice Department’s Civil Rights Division Harmeet Dhillon, pictured in 2023.Bloomberg News Processing Content Key insight: A $68 million-dollar settlement was heavily criticized because it failed to provide any restitution for thousands of victimized borrowers. What’s at stake: A federal judge questioned why $20 million of the settlement was earmarked to
Judge rejects DOJ-Colony Ridge settlement Read More »
Key takeaway: Federal Reserve Gov. Michael Barr said tariffs and the Iran war are short-term pressures on rural communities, while artificial intelligence will have longer-term, mixed effects. Expert quote: ‘Given rapidly changing circumstances, it is too early to know the path for prices as events in the Middle East unfold.” — Federal Reserve Gov. Michael
Fed’s Barr says tariffs, geopolitics weigh on rural areas Read More »