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BIS: How Abundant Are Reserves? Evidence From The Wholesale Payment System

Date 22/11/2022

Summary

Focus 

As central banks start to shrink their balance sheets while tightening policy in response to inflation, the deposit balances of commercial banks ("reserve holdings") are set to shrink as a consequence. Adequate reserve holdings underpin smoothly functioning short-term funding markets, and central banks will need to determine the scope for a smooth reduction in reserves. This paper approaches the issue of adequacy of reserve holdings by gauging how much outgoing payments depend on incoming payments. As reserve balances are the deposits held by commercial banks at the central bank, outgoing payments reduce the reserve balance of the bank making the payment. Delaying payments until incoming payments replenish reserves would conserve reserves. The sensitivity of outgoing payments to incoming payments can therefore serve as a gauge of the value placed by commercial banks on their reserves.

FTSE UK Index Series – Indicative Quarterly Review Changes December 2022

Date 22/11/2022

FTSE Russell, the global index provider, advises of the following indicative changes to the FTSE 100 and FTSE 250, based on data as of Friday 18th November 2022.

Exchange Of Letters Between The Bank Of England Governor And The UK Chancellor On The Asset Purchase Facility - 22 November 2022

Date 22/11/2022

Exchange of letters between the Governor and the Chancellor

Diversity And Inclusion: Driving Change In Our Industry - Speech By Sheldon Mills, UK Financial Conduct Authority Executive Director, Consumers And Competition, Delivered At The Association Of British Insurers (ABI) Diversity, Equity & Inclusion (D&I) Conference.

Date 22/11/2022

Highlights

• Driving change and working with industry to achieve a more diverse and inclusive financial services industry is a core part of the objectives set out in our Business Plan priority on ESG and our wider strategy for 2022 to 2025. 
• Progress is being made, but there is more still to do. Firms and consumers face heightened pressures from the cost-of-living crisis but we must not lose sight of the importance of ensuring diverse representation and inclusive cultures.
• We have carried out work to understand how a sample of firms approach the collection of Diversity & Inclusion (D&I) data, D&I strategies, and inclusive cultures. 
• Firms are taking important steps to develop their capabilities. As an industry, we are encouraging firms to maintain and expand momentum on D&I. 

Nasdaq Wins Two RiskTech100® Awards And Jumps To Top 20 In RiskTech100® Global Ranking - Wins Awards In Trade Surveillance And Managed Services: Financial Crime Categories - Nasdaq Moves Up 7 Ranks In The RiskTech100 To 18th Place

Date 22/11/2022

Nasdaq, Inc. (Nasdaq: NDAQ) today announced the company was recognized by Chartis’ annual RiskTech100® awards, the most comprehensive independent study of the world’s major players in risk and compliance technology. At the organization’s annual award ceremony, Nasdaq was awarded with category wins in Trade Surveillance and Managed Services: Financial Crime, and the company moved up to 18th place in RiskTech100®’s ranking of the top 100 players in the industry.

EEX Warns About Gas Price Caps

Date 22/11/2022

The European Energy Exchange (EEX) fully supports the call of the Association of European Energy Exchanges (Europex) against a gas price cap as outlined in the Commission’s informal policy paper dated 15 November 2022.

btceu.pro: BaFin Investigates BTC EU

Date 22/11/2022

In accordance with section 37 (4) of the German Banking Act (Kreditwesengesetz – KWG), the Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht – BaFin) would like to make clear that BTC EU does not have authorisation under the KWG to conduct banking business or provide financial services. The company is not supervised by BaFin. The information provided on the company’s website, btceu.pro, gives reasonable grounds to suspect that BTC EU is conducting banking business and providing financial services in the Federal Republic of Germany without the required authorisation.

mixfinancing.com: BaFin Investigates Mixfinancing

Date 22/11/2022

In accordance with section 37 (4) of the German Banking Act (Kreditwesengesetz – KWG), the Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht – BaFin) would like to make clear that Mixfinancing does not have authorisation under the KWG to conduct banking business or provide financial services. The company is not supervised by BaFin. The information provided on the company’s website, mixfinancing.com, gives reasonable grounds to suspect that Mixfinancing is conducting banking business and providing financial services in Germany without the required authorisation.

gk-fx.co: BaFin Investigates GKFX LLC

Date 22/11/2022

In accordance with section 37 (4) of the German Banking Act (Kreditwesengesetz – KWG), the Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht – BaFin) would like to make clear that GKFX LLC does not have authorisation under the KWG to conduct banking business or provide financial services. The company is not supervised by BaFin and is not affiliated with the supervised company Trive Financial Services Malta Limited, which operates the website gkfx.de. The information provided on the company’s website, gk-fx.co, gives reasonable grounds to suspect that GKFX LLC is conducting banking business and providing financial services in the Federal Republic of Germany without the required authorisation.

BIS: Inflation Risk And The Labor Market: Beneath The Surface Of A Flat Phillips Curve

Date 22/11/2022

Summary

Focus 

After the Great Financial Crisis, the labour market's influence on inflation decreased, largely due to anchoring of expectations and workers' reduced bargaining power. This paper studies whether perceived inflation risk, as gauged from inflation options, was more attuned to employment conditions. That is, did a tight labour market raise the perceived likelihood that inflation could overshoot expectations, even as realised inflation stayed subdued?