Fed mulls options for banks in commodities
Jan 15, 2014 | 02:24 PM
| Andrea Hotter
NEW YORK The U.S. Federal Reserve has announced a consultation on the role of banks in physical commodities ahead of a second Senate hearing. If the comments the Fed receives are anything like those presented at a U.S. Senate hearing on the same topic in July, it could signal the forced exit of banks from physical commodities.
The results of the consultation, which ends March 15, will affect the activities of a dozen banks including Goldman Sachs Group Inc., JPMorgan Chase & Co., Morgan Stanley, Barclays Bank Plc, Société Générale SA and Deutsche Bank AG.
These banks have been granted the authority to engage in physical commodities activities and will be subject to the decision resulting from the Fed review.
Sen. Sherrod Brown (D., Ohio) criticized the Fed at the last hearing for failing to provide a time table for its bank review, which may have prompted the announcement the day before the Senates next hearing.....
To access AMM's full content, please log in below. If you do not have an AMM account, we invite you to take a free trial or subscribe below.
Already a registered amm.com user?
Access to amm.com editorial content is granted only to paid subscribers and trialists. If you do not have an active account in your own name, please either subscribe or take a trial and you will have instant access to amm.com content. Sharing your login credentials with individuals who are not subscribers represents a violation of AMM copyright.
Every morning, every minute no matter how often you follow the markets, there's an AMM subscription to fit your needs.
Not sure if you are ready to invest in a subscription right now? Take a free, no-obligation trial. Start your free trial today.