Fed’s Miran: Fed should consider exempting treasuries
Federal Reserve (Fed) Governor Stephen Miran spoke about the United States (US) financial regulatory framework at the Bank Policy Institute, in Washington DC on Wednesday. He claimed that he strongly supports United States (US) central bank's efforts to streamline bank regulations.
Key takeaways
'Strongly supports' US central bank's efforts to streamline bank regulations.
Fed should consider exempting treasuries and central bank reserves from bank leverage ratios.
It's 'possible' that Fed could shrink its balance sheet again in the future.
Hopes easing regulations could allow smaller Fed balance sheet.
Smaller Fed balance sheet would reduce interest payout to banks.
Supported Fed's decision to stop balance sheet run-off.
Would have supported immediate end to Fed's quantitative easing at October 28-29 policy meeting.
Size of Fed balance sheet is ultimately dictated by regulations.
Smaller fed balance sheet depends on peeling back regulations."
Source : Fxstreet.com
