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Let’s Get Ready To Repo! - Speech By Victoria Saporta, Bank Of England, Executive Director, Markets, Given At Association For Financial Markets In Europe (AFME), London

Date 22/07/2024

The Bank of England's balance sheet plays a key role in helping it achieve its financial stability and monetary policy objectives. Vicky discusses the Bank’s latest thinking on the future of its balance sheet, and how it will manage the transition towards a demand-driven system for supplying reserves.

Cboe Announces Planned Launch Of New Cboe S&P 500 Variance Futures

Date 22/07/2024

• Newly redesigned product aims to bring OTC variance swaps trading to the exchange-listed market
• Simplifies trading and settlement, while offering benefits of price discovery, central clearing and liquidity
• Product addresses customer feedback and improves upon Cboe's previous variance futures offerings

Effectiveness Of Supervision Is Overall Good, The EBA Peer Review Report On The Definition Of Default Finds

Date 22/07/2024

The European Banking Authority (EBA) today published a Peer Review on its Guidelines on the application of the definition of default.  The Review found that the effectiveness of supervision in this area is good, in particular as regards the monitoring of internal ratings-based approach (IRBA) credit institutions. Supervision of the definition of default of credit institutions using the standardised approach (SA) is also good but more varied, reflecting the more dispersed nature of credit institutions and the relative predominance of IRBA credit institutions in terms of size and assets in different jurisdictions. The Report identifies a small number of follow-up measures/recommendations for certain competent authorities as well as best practices that would be of benefit for other competent authorities to adopt.

ACER Assesses The Gas Transmission Tariff Methodology Proposed For Slovakia

Date 22/07/2024

Today, ACER releases its report on the Slovakian gas transmission tariffs proposed by Eustream A.S., the Transmission System Operator (TSO) of Slovakia.

FSB Chair Calls For Further Progress Implementing Non-Bank Financial Intermediation Reforms

Date 22/07/2024

• In his letter to the G20, FSB Chair highlights high debt levels and vulnerabilities in non-bank financial intermediation (NBFI) as key risks to financial stability.
• Chair notes many of the underlying vulnerabilities in NBFI are still in place.
• FSB Chair also flags uneven progress in implementation of agreed NBFI policies and notes the need to finalise and implement these in a timely fashion.

ICE First Look At Mortgage Performance: June Sees Calendar-Driven Spike In Delinquencies; Foreclosures Remain Historically Low

Date 22/07/2024

• Coming off a near-record low in May and with June ending on a Sunday, the national delinquency rate jumped +14.5% (+45 basis points) to 3.49%, its second highest level in 18 months
• Sunday month-ends often lead to sharp, but typically temporary, spikes in delinquent mortgages, as payments made on the last day of a given month are not processed until the following month
• As such, June saw a +19.6% increase in the number of borrowers a single payment past due – the highest inflow since May 2020 – while 60-day delinquencies rose 11.8% to a five-month high
• Though up 5.1% from May, serious delinquencies (loans 90+ days past due but not in active foreclosure) were still down ‑8.5% year over year and 10.1% below pre-pandemic levels
• Foreclosure starts declined 6.2% in June – pushing active foreclosure inventory to its lowest point since the end of COVID-era moratoriums, now 34% below pre-pandemic levels
• 5.3K foreclosure sales were completed nationally in June, representing a -14.9% month-over-month decrease to their lowest level since February 2022, still well below pre-pandemic norms
• Prepayments eased -7.6% from May, breaking a six-month streak of increasing prepay activity as we near the typical seasonal peak of home sales, and affordability and rate constraints persist

Bank Of England: Results Of The Semi-Annual FX Turnover Surveys In April 2024 - See The Headline Results From An April 2024 Survey Of 27 Financial Institutions That Are Active In The UK Foreign Exchange Market

Date 22/07/2024

In April 2024, 27 financial institutions active in the UK foreign exchange market participated in the semi-annual turnover survey for the Foreign Exchange Joint Standing Committee (FXJSC). The survey results are summarised below. Detailed tables for the April 2024 reporting period are available separately.

Moscow Exchange: Concentration Limits Per Issuer On Securities Market

Date 22/07/2024

CCP NCC sets the following new concentration limit per issuer on Securities market from July 23-rd, 2024:

ACER’s Monitoring Shows The EU Gas Balancing Systems Managed To Adjust To New Supply And Demand Conditions

Date 22/07/2024

The Gas Balancing Network Code (BAL NC) establishes market-based rules to ensure that gas supply and demand are balanced efficiently within the EU. Its aim is to promote short-term gas wholesale markets by financially incentivising network users to balance their positions using daily or within-day products, thus enhancing market flexibility and efficiency.

CISI And IFoA Unite To Boost Actuaries’ Ethical AI Skills

Date 22/07/2024

The Institute and Faculty of Actuaries (IFoA), the UK’s only chartered body for educating, developing and regulating actuaries, is working with the Chartered Institute for Securities & Investment (CISI) to support actuaries in their understanding of ethical issues when deploying artificial intelligence (AI).