Yves Bonzon (Julius Baer) | Some investors and market commentators have interpreted the recent and persistent tensions in overnight repo markets in the US as a potential early warning signal of trouble. They draw parallels with the early warnings in credit market in 2007 right before the Great Financial Crisis. The current situation could actually not be more different: same symptoms, but very different cause.
While the US bank’s chief economist in pointing to systemic risks, financial bubbles and market complacency, his colleagues in Spain believe “this tale about market manipulation is not real.”
July 11, 2015 | By Simon Zadek and Christian Thimann via Caixin | A financial system for the 21st century should account for five warning signals that have not been addressed by current policy and regulatory frameworks.
The Corner | June 25, 2015 | The U.S. Federal Reserve is adapting its stress-testing framework to cover the three global insurance companies that it supervises, since their failure could seriously jeopardize the economy.