The E-mail Banking News
(Bank Regulatory News)
December 2014

FYI - Don't forget to follow me on LinkedIn at https://www.linkedin.com/in/yennik where I post a weekly question on IT and cybersecurity auditing.

December 31, 2014 - Currency and Bank Budgets 2015 Currency Budget - On December 11, 2014, the Board approved the 2015 currency budget totaling $717.9 million, which represents a decrease of $108.7 million, or 13 .2 percent, from the approved 2014 budget, and an increase of 0.8 percent from estimated 2014 expenses. www.federalreserve.gov/foia/files/2015Currency.pdf

December 31, 2014 - Regulatory Reform - Discount Window Lending Data, Fourth Quarter 2012.   www.federalreserve.gov/newsevents/reform_discount_window.htm#data

December 31, 2014 - NCUA Issues Prohibition Orders - The National Credit Union Administration has issued six orders in December prohibiting the following individuals from participating in the affairs of any federally insured financial institution.  www.ncua.gov/News/Pages/NW20141231Orders.aspx

December 30, 2014 - Midwest Economic Growth Accelerated in November - The Midwest Economy Index was +0.52 in November, up from +0.36 in October. www.chicagofed.org/~/media/publications/mei/2014/mei-november2014-pdf.pdf?la=en

December 30, 2014 - Surveys and Reports - Senior Credit Officer Opinion Survey on Dealer Financing Terms - December 2014 - The Senior Credit Officer Opinion Survey on Dealer Financing Terms is a quarterly survey providing information about the availability and terms of credit in securities financing and over-the counter derivatives markets. www.federalreserve.gov/econresdata/releases/scoos.htm

December 30, 2014 - Federal Reserve System Financial Reports - Financial Accounting Manual for Federal Reserve Banks - January 2015.   www.federalreserve.gov/monetarypolicy/bst_fedfinancials.htm#manual

December 29, 2014 - What Is Driving the Decline in Labor Force Participation? - Economic Perspectives article explores declining labor force participation and its implications for unemployment and employment growth. www.chicagofed.org/publications/cfnai/index

December 29, 2014 - New NCUA Video Outlines Field of Membership Options and Strategies - Federal credit unions can better assess their field of membership needs as a result of the Strive to Thrive video released today on the National Credit Union Administration’s YouTube channel. www.ncua.gov/News/Pages/NW20141229Video.aspx

December 29, 2014 - Tenth District consumer debt remains steady in third quarter - DEBT IN MISSOURI AND KANSAS BELOW NATIONAL AVERAGE
Average consumer debt across the seven states of the Tenth Federal Reserve District remained relatively steady at $16,105 during the third quarter, and continues to be below the national average, according to the Federal Reserve Bank of Kansas City’s latest Consumer Credit Reports. www.kc.frb.org/publicat/newsroom/2014pdf/Press.Release.12.29.14.pdf

December 29, 2014 - FDIC Makes Public November Enforcement Actions; No Administrative Hearings Scheduled for January 2015 - Federal Deposit Insurance Corporation today released a list of orders of administrative enforcement actions taken against banks and individuals in November.  www.fdic.gov/news/news/press/2014/pr14115.html

December 29, 2014 - Household Debt Service and Financial Obligations Ratios - Household debt service payments and financial obligations as a percentage of disposable personal income; seasonally adjusted. www.federalreserve.gov/releases/housedebt/default.htm

December 29, 2014 - Supervision Manual - A User's Guide for the Bank Holding Company Performance Report, March 2014 - Serves as an aid in using the Bank Holding Company Performance Report. Provides definitions of the financial ratios and items presented on each page of the BHCPR. www.federalreserve.gov/boarddocs/supmanual/bhcpr/UsersGuide14/default.htm

December 29, 2014 - Efficient Monte Carlo Counterparty Credit Risk Pricing and Measurement - Samim Ghamami - Counterparty credit risk, a key driver of the 2007-08 credit crisis, has become one of the main focuses of the major global and U.S. regulatory standards.  www.federalreserve.gov/econresdata/feds/2014/files/2014114pap.pdf

December 29, 2014 - Where Are All the New Banks? The Role of Regulatory Burden in New Charter Creation - Robert M. Adams and Jacob P. Gramlich - The number of new bank charters in the United States has declined dramatically in recent years. From 1990 to 2008, over 2,000 new banks were formed, more than 100 per year. www.federalreserve.gov/econresdata/feds/2014/files/2014113pap.pdf

December 29, 2014 - Modeling Money Market Spreads: What Do We Learn about Refinancing Risk? - Vincent Brousseau, Kleopatra Nikolaou, and Huw Pill - We quantify the effect of refinancing risk on euro area money market spreads, a major factor driving spreads during the financing crisis.  www.federalreserve.gov/econresdata/feds/2014/files/2014112pap.pdf

December 29, 2014 - The Impact of the Small Business Lending Fund on Community Bank Lending to Small Businesses - Dean Amel and Traci Mach - Following the financial crisis, total outstanding loans to businesses by commercial banks dropped off substantially.  www.federalreserve.gov/econresdata/feds/2014/files/2014111pap.pdf

December 29, 2014 - Central banks as lender of last resort: experiences during the 2007-2010 crisis and lessons for the future - Dietrich Domanski, Richhild Moessner, and William Nelson - During the 2007-2010 financial crisis, central banks accumulated a vast amount of experience in acting as lender of last resort.  www.federalreserve.gov/econresdata/feds/2014/files/2014110pap.pdf
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December 23, 2014 - Frequently Asked Questions - Section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act - Section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act added a new section 13 to the Bank Holding Company Act of 1956, commonly referred to as the Volcker rule, that generally prohibits insured depository institutions and any company affiliated with an insured depository institution from engaging in proprietary trading and from acquiring or retaining ownership interests in, sponsoring, or having certain relationships with a hedge fund or private equity fund.   www.federalreserve.gov/bankinforeg/volcker-rule/faq.htm

December 23, 2014 - NCUA Charters Lutheran Federal Credit Union - Third 2014 Charter Will Provide Affordable Financial Services to the Lutheran Church – Missouri Synod - Lutheran Federal Credit Union has become the third new federally chartered credit union of 2014. www.ncua.gov/News/Pages/NW20141223Charter.aspx

December 23, 2014 - NCUA Issues Cease and Desist Order - Member Deposits at New Bethel Federal Credit Union Remain Insured Up to $250,000 - The National Credit Union Administration has issued a cease and desist order to New Bethel Federal Credit Union of Portsmouth, Virginia. www.ncua.gov/News/Pages/NW20141223Order.aspx

December 23, 2014 - NCUA Sues Wells Fargo as Trustee of Mortgage-Backed Securities - The National Credit Union Administration has filed suit in federal court against Wells Fargo Bank National Association, alleging the bank violated state and federal laws by failing to fulfill its duties as trustee for 27 residential mortgage-backed securities trusts. www.ncua.gov/News/Pages/NW20141223WellsComplaint.aspx

December 23, 2014 - NCUA Posts New Economic Update Video - ?Learn about 2015 Economic Outlook, Third-Quarter Credit Union Performance - The consensus of economic forecasters is that the economy will continue to grow and labor markets will continue to improve in 2015.  www.ncua.gov/News/Pages/NW20141223EconomicUpdate.aspx

December 23, 2014 - Statistical Release - Structure and Share Data for U.S. Banking Offices of Foreign Entities - Data are collected as of the end of the month for March, June, September and December, and generally are released three months later. www.federalreserve.gov/releases/iba/default.htm

December 23, 2014 - Statistical Release - Survey of Terms of Business Lending - E.2.  www.federalreserve.gov/releases/e2/current/default.htm

December 23, 2014 - Federal Reserve Board announces appraisals for Higher-Priced Mortgage Loans exemption threshold adjustment - The Federal Reserve Board on Tuesday announced the annual adjustment of the dollar amount used to determine whether a small loan is exempt from the special appraisal requirements that apply to higher-priced mortgage loans. www.federalreserve.gov/newsevents/press/bcreg/20141223a.htm

December 22, 2014 - Economic Growth Accelerated in November - The Chicago Fed National Activity Index was +0.73 in November, up from +0.31 in October. - On November 3, 2014, the Federal Reserve Bank of Chicago held a conference to examine recent research on measuring the economic value of infrastructure investments and to explore new funding models for infrastructure in a time when many state and local
governments face fiscal challenges. www.chicagofed.org/~/media/publications/cfnai/2014/cfnai-december2014-pdf.pdf?la=en

December 22, 2014 - Measuring and Financing Infrastructure Investments - Rick Mattoon - On November 3, 2014, the Federal Reserve Bank of Chicago held a conference to examine recent research on measuring the economic value of infrastructure investments and to explore new funding models for infrastructure in a time when many state and local governments face fiscal challenges. www.chicagofed.org/~/media/publications/chicago-fed-letter/2015/cfl331-pdf.pdf

December 22, 2014 - NCUA - Regulatory Modernization Initiative Results.  www.ncua.gov/News/Pages/RegulatoryModernizationInitiativeResults.pdf

December 22, 2014 - Kansas City Fed announces director election results and appointments - The Federal Reserve Bank of Kansas City announces director election results and appointments to fill seats on its headquarters office and branch boards of directors.  www.kc.frb.org/publicat/newsroom/2014pdf/Press.Release.12.22.14.pdf

December 22, 2014 - Banking agencies' statement regarding the Basel Committee's consultative paper "Revisions to the Standardized Approach for credit risk" - The Basel Committee on Banking Supervision today published a consultative paper entitled "Revisions to the Standardized Approach for credit risk."
Press Release: www.federalreserve.gov/newsevents/press/bcreg/20141222a.htm
Press Release: www.fdic.gov/news/news/press/2014/pr14113.html
Press Release: www.occ.gov/news-issuances/news-releases/2014/nr-ia-2014-175.html

December 22, 2014 - Regulatory Reform - Communications with the public through December 22, 2014 - Communications with the Public
The Federal Reserve Board will be involved in many rulemakings to implement the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. www.federalreserve.gov/newsevents/reform_meetings.htm

December 22, 2014 - St. Louis Fed Survey Highlights Economic Conditions in Low- and Moderate-Income Communities- In a survey about the economic challenges facing low- and moderate-income communities in the Eighth Federal Reserve District, more people indicated that economic conditions were improving in LMI communities than said they were declining, though the majority reported conditions had remained the same as six months ago. www.stlouisfed.org/newsroom/displayNews.cfm?article=2406

December 22, 2014 - St. Louis Fed Louisville Branch Announces Changes to Board of Directors -The Federal Reserve Bank of St. Louis announced the following changes to its Louisville Branch board of directors, effective Jan. 1, 2015.  www.stlouisfed.org/newsroom/displayNews.cfm?article=2405

December 22, 2014 - Ronald J. Kruszewski Reappointed to Federal Advisory Council - The board of directors of the Federal Reserve Bank of St. Louis has reappointed Ronald J. Kruszewski, chairman, president and CEO of Stifel Financial Corp. and Stifel, Nicolaus & Company, Incorporated, in St. Louis to serve on the Federal Advisory Council for a one-year term that ends on December 31, 2015. www.stlouisfed.org/newsroom/displayNews.cfm?article=2404

December 22, 2014 - St. Louis Fed Memphis Branch Announces Changes to Board of Directors - The Federal Reserve Bank of St. Louis has announced the following changes to its Memphis Branch board of directors, effective Jan. 1, 2015. www.stlouisfed.org/newsroom/displayNews.cfm?article=2403 

December 22, 2014 - St. Louis Fed Little Rock Branch Announces Changes to Board of Directors - The Federal Reserve Bank of St. Louis has announced the following changes to its Little Rock Branch board of directors, effective Jan. 1, 2015.  www.stlouisfed.org/newsroom/displayNews.cfm?article=2402

December 22, 2014 - St. Louis Fed Announces Changes to Board of Directors.  www.stlouisfed.org/newsroom/displayNews.cfm?article=2401

December 19, 2014 - What Is Driving the Decline in Labor Force Participation? - Economic Perspectives article explores declining labor force participation and its implications for unemployment and employment growth.   www.chicagofed.org/~/media/publications/economic-perspectives/2014/4q2014-part1-aaronson-etal-pdf.pdf 

December 19, 2014 - NCUA - Matz: Lawyers’ Trust Accounts Now Insurable at Credit Unions - New IOLTA Law Removes Constraints, Creates Parity with Banks - With President Barack Obama’s signing of the Credit Union Share Insurance Fund Parity Act, lawyers’ trust accounts at federally insured credit unions are now insured to the limit allowed by the Share Insurance Fund, National Credit Union Board Chairman Debbie Matz said today. www.ncua.gov/News/Pages/NW20141219LawyerTrustAccounts.aspx

December 19, 2014 - OCC Enforcement Actions - The Office of the Comptroller of the Currency today released new enforcement actions taken against national banks, federal savings associations, and individuals currently and formerly affiliated with national banks and federal savings associations. www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-173.html

December 19, 2014 - OCC Reports Third Quarter Trading Revenue of $5.7 Billion - Insured U.S. commercial banks and savings institutions reported trading revenue of $5.7 billion in the third quarter of 2014, down $0.7 billion, or 11 percent, from $6.4 billion in the previous quarter, the Office of the Comptroller of the Currency reported today. www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-172.html

December 19, 2014 - OCC Reports Mortgage Performance Improvement Continues - The performance of first-lien mortgages serviced by seven national banks and one federal savings association improved in the third quarter of 2014, according to a report released today by the Office of the Comptroller of the Currency www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-171.html

December 19, 2014 - Release schedule for the Kansas City Fed's Labor Market Conditions Indicators - The Kansas City Fed’s Labor Market Conditions Indicators are two monthly measures of labor market conditions based on 24 labor market variables.  www.kc.frb.org/publicat/newsroom/2014pdf/Press.Release.12.19.14.pdf

December 19, 2014 - Release schedule for the Kansas City Financial Stress Index - The Federal Reserve Bank of Kansas City began a monthly release of the Kansas City Financial Stress Index in August 2009. The index is a monthly measure of stress in the U.S. financial system based on 11 market variables. www.kc.frb.org/publicat/newsroom/2014pdf/Press.Release.12.19.14.KCFSI.pdf

December 19, 2014 - John G. Stumpf Appointed to the Federal Advisory Council - -John G. Stumpf - The Federal Reserve Bank of San Francisco’s board of directors has appointed John G. Stumpf, chairman, president, and CEO of Wells Fargo & Company to represent the District on the Federal Advisory Council for a one-year term beginning January 1, 2015.  www.frbsf.org/our-district/press/news-releases/2014/john-g-stumpf-appointed-federal-advisory-council/

December 19, 2014 - St. Louis Burgundy Book: Unemployment Down, Optimism Rising.  www.stlouisfed.org/newsroom/displayNews.cfm?article=2396

December 19, 2014 - Little Rock Burgundy Book: Employment and Optimism on the Rise. www.stlouisfed.org/newsroom/displayNews.cfm?article=2397

December 19, 2014 - Louisville Burgundy Book: Economic Momentum, Optimism on the Rise. www.stlouisfed.org/newsroom/displayNews.cfm?article=2398

December 19, 2014 - Memphis Burgundy Book: Rising Transportation and Manufacturing Employment Boosts Job Growth.   www.stlouisfed.org/newsroom/displayNews.cfm?article=2399

December 19, 2014 - BankVista, Sartell, Minnesota, Assumes All of the Deposits of Northern Star Bank, Mankato, Minnesota - Northern Star Bank, Mankato, Minnesota, was closed today by the Minnesota Department of Commerce, which appointed the Federal Deposit Insurance Corporation as receiver. To protect the depositors, the FDIC entered into a purchase and assumption agreement with BankVista, Sartell, Minnesota, to assume all of the deposits of Northern Star Bank. www.fdic.gov/news/news/press/2014/pr14112.html

December 19, 2014 - Legal Developments - Orders Issued under the Bank Merger Act, Federal Deposit Insurance Act, Federal Reserve Act, and International Banking Act, 2014. www.federalreserve.gov/bankinforeg/legaldevelopments/ordersother2014.htm

December 19, 2014 - Agencies Release Annual CRA Asset-Size Threshold Adjustments for Small and Intermediate Small Institutions - The federal bank regulatory agencies today announced the annual adjustment to the asset-size thresholds used to define small bank, small savings association, intermediate small bank, and intermediate small savings association under the Community Reinvestment Act regulations.
Press Release: www.federalreserve.gov/newsevents/press/bcreg/20141219a.htm
Press Release: www.fdic.gov/news/news/press/2014/pr14111.html
Press Release: www.occ.gov/news-issuances/news-releases/2014/nr-ia-2014-174.html

December 19, 2014 - Advisory Council - Record of the Meeting of the Federal Advisory Council and the Board of Governors, December 5, 2014.   www.federalreserve.gov/aboutthefed/fac.htm

December 19, 2014 - Current FAQs - How does the Federal Reserve Board determine how much currency to order each year? - As the issuer of Federal Reserve notes, the Federal Reserve Board places an order for currency from the U.S. Treasury Department's Bureau of Engraving and Printing every year.  www.federalreserve.gov/faqs/how-does-the-federal-reserve-board-determine-how-much-currency-to-order-each-year.htm

December 19, 2014 - Assessing the Change in Labor Market Conditions - Hess T. Chung, Bruce Fallick, Christopher J. Nekarda, and David D. Ratner - This paper describes a dynamic factor model of 19 U.S. labor market indicators, covering the broad categories of unemployment and underemployment, employment, workweeks, wages, vacancies, hiring, layoffs, quits, and surveys of consumers' and businesses' perceptions. www.federalreserve.gov/econresdata/feds/2014/files/2014109pap.pdf

December 19, 2014 - In Search of a Risk-free Asset - Vladimir Yankov - To attract retail time deposits, over 7,000 FDIC insured U.S. commercial banks publicly post their yield offers. I document an economically sizable and highly pro-cyclical cross-sectional dispersion in these yield offers during the period 1997 - 2011. www.federalreserve.gov/econresdata/feds/2014/files/2014108pap.pdf

December 19, 2014 - Fiscal Multipliers at the Zero Lower Bound: The Role of Policy Inertia - Timothy S. Hills and Taisuke Nakata - The presence of the lagged shadow policy rate in the interest rate feedback rule reduces the government spending multiplier nontrivially when the policy rate is constrained at the zero lower bound.  www.federalreserve.gov/econresdata/feds/2014/files/2014107pap.pdf

December 19, 2014 - Are Concerns About Leveraged ETFs Overblown? - Ivan T. Ivanov and Stephen L. Lenkey - Leveraged and inverse exchange-traded funds have been heavily criticized for exacerbating volatility in financial markets because it is thought that they mechanically rebalance their portfolios in the same direction as contemporaneous returns.  www.federalreserve.gov/econresdata/feds/2014/files/2014106pap.pdf

December 19, 2014 - Conservatism and Liquidity Traps - Taisuke Nakata and Sebastian Schmidt - Appointing Rogoff's (1985) conservative central banker improves welfare if the economy is subject to large contractionary shocks and the policy rate occasionally falls to the zero lower bound.  www.federalreserve.gov/econresdata/feds/2014/files/2014105pap.pdf

December 19, 2014 - Bitcoin: Technical Background and Data Analysis - Anton Badev and Matthew Chen - This paper provides the necessary technical background to understand basic Bitcoin operations and documents a set of empirical regularities related to Bitcoin usage.  www.federalreserve.gov/econresdata/feds/2014/files/2014104pap.pdf

December 19, 2014 - Credit and Liquidity Programs and the Balance Sheet - Recent balance sheet trends, weekly chart data update.   www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm

December 19, 2014 - Statistical Release - Finance Companies - G.20.  www.federalreserve.gov/releases/g20/current/g20.htm
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December 18, 2014 - Dodd-Frank Regulations: Regulators' Analytical and Coordination Efforts. http://www.gao.gov/products/GAO-15-81

December 18, 2014 - Leadership and Membership Appointments Announced for the Federal Reserve Bank of San Francisco’s Community Depository Institutions Advisory Council - Janet Garufis, president and CEO of Montecito Bank & Trust, Santa Barbara, CA, was appointed chair of the Federal Reserve Bank of San Francisco’s Community Depository Institutions Advisory Council.  www.frbsf.org/our-district/press/news-releases/2014/leadership-membership-announcement-community-depository-institutions-advisory-council/

December 18, 2014 - Financial Market Stress Is Highest in Eight Weeks - Financial market stress rose modestly in the latest reporting week, the third increase in the past four weeks.  www.stlouisfed.org/newsroom/displayNews.cfm?article=2393

December 18, 2014 - FDIC Publication Focuses on Interest Rate Risk - The Winter 2014 issue of Supervisory Insights, which was released today, looks at key aspects of interest rate risk management, including the implementation of effective governance processes, the development of key assumptions for analyzing IRR, the development of an in-house independent review of IRR management systems, and what to expect during an IRR review. www.fdic.gov/news/news/press/2014/pr14110.html

December 18, 2014 - Federal Reserve Board announces banking entities have until July 21, 2016, to conform investments in and relationships with covered funds and foreign funds that were in place prior to December 31, 2013 www.federalreserve.gov/newsevents/press/bcreg/20141218a.htm

December 18, 2014 - NCUA - Matz Writes to Defense Department on Proposed Military Lending Rule - ?Chairman Requests Exemption of NCUA’s Payday Alternative Loans - National Credit Union Administration Board Chairman Debbie Matz asked the Defense Department to preserve the ability of federal credit unions to provide affordable credit alternatives to military members and their families. www.ncua.gov/News/Pages/NW20141218MatzCommentletter.aspx

December 17, 2014 - NCUA Opens First 2015 Grant Round Feb. 2 - Student Internship and Training Grants Available for Low-Income Credit Unions - Low-income credit unions interested in providing staff training or hiring interns in 2015 should consider applying for the first round of technical assistance grants from the National Credit Union Administration. www.ncua.gov/News/Pages/NW20141217Grant.aspx

December 17, 2014 - NCUA - McWatters: Transparency, Open Participation Imperative to Regulation - Open communication is essential to effective regulation, National Credit Union Administration Board Member J. Mark McWatters said, and he stressed the need for continued dialogue and communication. www.ncua.gov/News/Pages/NW20141217McWattersTransparency.aspx

December 17, 2014 - NCUA Sues Trustees of Mortgage-Backed Securities - The National Credit Union Administration has filed suit in federal court against U.S. Bank National Association and Bank of America National Association, alleging the banks violated state and federal laws by failing to fulfill their duties as trustees for 99 residential mortgage-backed securities trusts. www.ncua.gov/News/Pages/NW20141217Lawsuit.aspx

December 17, 2014 - OCC Highlights Key Risks Facing National Banks and Federal Savings Associations - The Office of the Comptroller of the Currency reports credit risk increased among national banks and federal savings associations during the first six months of 2014, according to its semiannual report on risks facing the federal banking system. www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-170.html

December 17, 2014 - St. Louis Fed Memphis Executive Martha Perine Beard to Retire in 2015; Executive Search Under Way to Fill Key Position - Martha Perine Beard, regional executive of the Memphis Branch of the Federal Reserve Bank of St. Louis, has announced her retirement in the spring of 2015, following 44 years of distinguished service with the Bank. www.stlouisfed.org/newsroom/displayNews.cfm?article=2394

December 17, 2014 - FDIC Issues Guidance for the Resolution Plans of Large Banks - The Federal Deposit Insurance Corporation issued guidance for resolution plans that insured depository institutions with assets greater than $50 billion must submit periodically to the FDIC.   www.fdic.gov/news/news/press/2014/pr14109.html

December 17, 2014 - Press conference with FOMC Chair, Janet L. Yellen, December 17, 2014. www.federalreserve.gov/monetarypolicy/fomcpresconf20141217.htm

December 17, 2014 - Federal Reserve issues FOMC statement - Information received since the Federal Open Market Committee met in October suggests that economic activity is expanding at a moderate pace.  www.federalreserve.gov/newsevents/press/monetary/20141217a.htm

December 17, 2014 - Federal Reserve Board and Federal Open Market Committee release economic projections from the December 16-17 FOMC meeting - The attached table and charts released on Wednesday summarize the economic projections and the target federal funds rate projections made by Federal Reserve Board members and Federal Reserve Bank presidents for the December 16-17 meeting of the Federal Open Market Committee. www.federalreserve.gov/newsevents/press/monetary/20141217b.htm

December 16, 2014 - NCUA Terminates Letter of Understanding and Agreement with Sperry Associates - The National Credit Union Administration announced today that it has terminated its Published Letter of Understanding and Agreement, dated May 28, 2010, with Sperry Associates Federal Credit Union of Garden City Park, New York. www.ncua.gov/News/Pages/NW20141216SperryLUA.aspx

December 16, 2014 - NCUA Further Boosts Budget Transparency - Office Budgets of Each NCUA Board Member Now Available Online - To further enhance transparency about the National Credit Union Administration’s budget and operations, the agency today posted online the individual office budgets of each NCUA Board Member. www.ncua.gov/News/Pages/NW20141216Transparency.aspx

December 16, 2014 - Underwriting Standards Continue to Ease, OCC Survey Shows - The Office of the Comptroller of the Currency’s 20th Annual Survey of Credit Underwriting, released today, shows a third consecutive year of underwriting standards easing within both commercial and retail products. www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-168.html

December 16, 2014 - FDIC Board Approves 2015 Operating Budget - The Board of Directors of the Federal Deposit Insurance Corporation today approved a $2.32 billion Corporate Operating Budget for 2015, 3.0 percent lower than the 2014 budget. In conjunction with its approval of the 2015 budget, the Board also approved an authorized 2015 staffing level of 6,875 positions, down from 7,200 currently authorized, a net reduction of 325 positions. www.fdic.gov/news/news/press/2014/pr14108.html

December 16, 2014 - Agencies announce rules to reflect ISDA protocol in regulatory capital and liquidity coverage ratio rules - The Board of Governors of the Federal Reserve System and Office of the Comptroller of the Currency today issued an interim final rule to ensure that the treatment of over-the-counter derivatives, eligible margin loans, and repo-style transactions under the two agencies' regulatory capital and liquidity coverage ratio rules would be unaffected by the implementation of certain foreign special resolution regimes for financial companies or by a banking organization's adherence to the International Swaps and Derivatives Association's Resolution Stay Protocol. www.federalreserve.gov/newsevents/press/bcreg/20141216a.htm

December 16, 2014 - Federal Reserve Board announces termination of enforcement action with Port Byron State Bank.   www.federalreserve.gov/newsevents/press/enforcement/20141216a.htm 

December 15, 2014 - Statistical Release - Industrial Production and Capacity Utilization - G.17 - Industrial production increased 1.3 percent in November after edging up in October; output is now reported to have risen at a faster pace over the period from June through October than previously published. In November, manufacturing output increased 1.1 percent, with widespread gains among industries. www.federalreserve.gov/releases/g17/Current/default.htm

December 15, 2014 - Stress Tests and Capital Planning - Enhancements to Federal Reserve Projected Capital - The Federal Reserve Board on Thursday issued the supervisory scenarios that will be used in the 2015 capital planning and stress testing program.   www.federalreserve.gov/newsevents/press/bcreg/20141023a.htm

December 12, 2014 - Measuring and Financing Infrastructure Investments - Rick Mattoon - On November 3, 2014, the Federal Reserve Bank of Chicago held a conference to examine recent research on measuring the economic value of infrastructure investments and to explore new funding models for infrastructure in a time when many state and local governments face fiscal challenges. www.chicagofed.org/~/media/publications/chicago-fed-letter/2015/cfl331-pdf.pdf

December 12, 2014 - Health One Closes, New England Federal Assumes Shares, Assets, Loans - ?Member Deposits Remain Protected up to $250,000 by the Share Insurance Fund - The Michigan Department of Insurance and Financial Services today liquidated Health One Credit Union of Detroit and named the National Credit Union Administration as liquidating agent. www.ncua.gov/News/Pages/NW20141212Liquidation.aspx

December 12, 2014 - Bank Accounting Advisory Series Updated - The Office of the Comptroller of the Currency today released an update to the Bank Accounting Advisory Series.  www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-167.html

December 12, 2014 - The Kansas City Fed’s Plan. Prepare. Prevail. program makes it convenient for individuals, families and
small business owners to learn about the financial documents and records they need to have available in case of an emergency situation.  www.kc.frb.org/publicat/newsroom/2014pdf/Press.Release.12.12.14.pdf

December 12, 2014 - St. Louis Fed’s New ‘Financial Health Scorecard’ Can Predict Personal Wealth - New analysis by the Federal Reserve Bank of St. Louis shows that five simple questions may predict personal financial health and wealth surprisingly well. www.stlouisfed.org/newsroom/displayNews.cfm?article=2390

December 12, 2014 - Federal Reserve Board requests comment for depository institution holding companies with non-traditional capital structures - The Federal Reserve Board on Friday invited public comment on a proposed rulemaking to provide additional information on how to apply the Board's revised capital framework for depository institution holding companies that have non-traditional capital structures. www.federalreserve.gov/newsevents/press/bcreg/20141212a.htm

December 11, 2014 - Federal Reserve Board approves proposal by Midland States Bancorp - The Federal Reserve Board on Thursday announced its approval of the proposal by Midland States Bancorp, Inc., Effingham, Illinois, to acquire Love Savings Holding Company, St. Louis, Missouri, pursuant to section 4 of the Bank Holding Company Act of 1956, and the proposals by Midland States Bank, Effingham, Illinois to merge with Heartland Bank, St. Louis, Missouri, pursuant to the Bank Merger Act, and operate branches at the main office and branch locations of Heartland Bank pursuant to section 9 of the Federal Reserve Act. www.federalreserve.gov/newsevents/press/orders/orders20141211a1.pdf
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December 10, 2014 - OCC Releases CRA Evaluations for 23 National Banks and Federal Savings Associations - The Office of the Comptroller of the Currency today released a list of Community Reinvestment Act performance evaluations that became public during the period of November 1, 2014 through November 30, 2014. www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-166.html

December 10, 2014 - OCC Official Testifies on Cybersecurity - The Office of the Comptroller of the Currency’s Senior Critical Infrastructure Officer Valerie Abend today discussed regulatory efforts to address cyber threats and vulnerabilities and coordinate information sharing for the benefit of the banking industry, regulatory community, and the financial system during testimony before the U.S. Senate Committee on Banking, Housing, and Urban Affairs.
www.occ.gov/news-issuances/congressional-testimony/2014/pub-test-2014-165-oral.pdf
www.occ.gov/news-issuances/congressional-testimony/2014/pub-test-2014-165-written.pdf

December 10, 2014 - KC Fed LMCI labor market indicator declines slightly; momentum remains high - KC Fed LMCI labor market activity indicator declined slightly while momentum indicator remained high. - The Kansas City Fed Labor Market Conditions - Indicators suggest labor market conditions declined slightly while momentum remained high. www.kc.frb.org/publicat/research/indicatorsdata/lmci/lmci_121014.pdf

December 10, 2014 - Federal Reserve Board announces approval of notice by Southside Bancshares, Inc. - The Federal Reserve Board on Wednesday announced its approval of the notice under section 4 of the Bank Holding Company Act by Southside Bancshares, Inc., Tyler, Texas, to acquire OmniAmerican Bancorp, Inc., and its wholly owned subsidiary, OmniAmerican Bank, both of Fort Worth, Texas. www.federalreserve.gov/newsevents/press/orders/20141210a.htm

December 10, 2014 - NCUA - December NCUA Report Now Available - The National Credit Union Administration announced today the December 2014 issue of The NCUA Report is now available online. www.ncua.gov/News/Pages/NW20141210NCUAReport.aspx

December 10, 2014 - NCUA Rises in 2014 “Best Places to Work” - Report Notes Agency Strong in Leadership, Skills Matching, Training, Diversity - National Credit Union Administration employees have again given their agency strong rankings as a “Best Place to Work” in the Partnership for Public Service’s latest Best Places to Work in the Federal Government report. www.ncua.gov/News/Pages/NW20141210BestPlaces.aspx

December 9, 2014 - Proposal to Establish Risk-Based Capital Surcharges for Systemically Important Bank Holding Companies.   www.federalreserve.gov/aboutthefed/boardmeetings/20141209openmaterials.htm

December 9, 2014 - Federal Reserve Board proposes rule to further strengthen the capital positions of the largest, most systemically important U.S. bank holding companies - The Federal Reserve Board on Tuesday proposed a rule to further strengthen the capital positions of the largest, most systemically important U.S. bank holding companies. www.federalreserve.gov/newsevents/press/bcreg/20141209a.htm

December 9, 2014 - Federal Reserve Board approves application by ViewPoint Financial Group, Inc. - The Federal Reserve Board on Tuesday announced its approval of the application under section 3 of the Bank Holding Act by ViewPoint Financial Group, Inc., to acquire LegacyTexas Group, Inc., and its wholly owned subsidiary, LegacyTexas Bank, all of Plano, Texas. www.federalreserve.gov/newsevents/press/orders/20141209a.htm

December 9, 2014 - NCUA: State-Level Analysis Shows Accelerating Credit Union Loan Growth - North Dakota, Idaho Strong in Several Measures in Quarterly U.S. Map Review - State-level data compiled by the National Credit Union Administration shows the median rate of loan growth continuing to rise at federally insured credit unions in the year ending Sept. 30, 2014. www.ncua.gov/News/Pages/NW20141209StateMaps.aspx

December 9, 2014 - NCUA - Matz: Responsible Parties Should Cover Cost of Cybersecurity Breaches - NCUA Chairman Says Retailers “Should Be Held Accountable” for Protecting Consumers’ Sensitive Information - Data breaches at retailers have cost credit unions greatly, and National Credit Union Administration Board Chairman Debbie Matz called for retailers and other third parties that are responsible for such breaches to cover those costs to financial institutions. www.ncua.gov/News/Pages/NW20141209Cybersecurity.aspx

December 8, 2014 - Chicago Fed Symposium Forecasts Growth to Be Slightly Above Average in 2015 - U.S. economy to grow at pace slightly higher than historical average, with inflation ticking down and unemployment rate edging lower, according to Economic Outlook Symposium participants. www.chicagofed.org/~/media/others/events/2014/economic-outlook-symposium/economic-outlook-symposium-2014-press-release-pdf.pdf 

December 5, 2014 - FDIC Announces the Appointment of Suzannah L. Susser as Chief Learning Officer and Director of Corporate University - The Federal Deposit Insurance Corporation today announced the appointment of Suzannah L. Susser as Chief Learning Officer and Director of Corporate University, where she had served as acting director since November 2013. www.fdic.gov/news/news/press/2014/pr14106.html 

December 5, 2014 - Credit and Liquidity Programs and the Balance Sheet - Recent balance sheet trends, weekly chart data update.   www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm

December 5, 2014 - Consumer Credit - G.19 - In October, consumer credit increased at a seasonally adjusted annual rate of 5 percent. Revolving credit increased at an annual rate of 1-1/4 percent, while nonrevolving credit increased at an annual rate of 6-1/4 percent. www.federalreserve.gov/whatsnew.htm _______________

December 4, 2014 - Midwest Growth Remained Above Average in October - The Midwest Economy Index was +0.36 in October, down from +0.46 in September. http://chicagofed.org/webpages/publications/mei/index.cfm

December 4, 2014 - Financial Conditions Little Changed on Balance in November - The NFCI ticked down to –0.84 and the ANFCI edged higher to –0.34 in November. http://chicagofed.org/webpages/publications/nfci/index.cfm

December 4, 2014 - Financial Market Stress Declines for Fifth Time in Six Weeks - Financial market stress declined slightly in the latest reporting week, according to the St. Louis Fed Financial Stress Index. For the week ending Nov. 28, 2014, the STLFSI measured -1.137, down modestly from the previous week’s revised value of -1.094.  www.stlouisfed.org/newsroom/displayNews.cfm?article=2386

December 4, 2014 - FDIC Issues List of Banks Examined for CRA Compliance - The Federal Deposit Insurance Corporation today issued its list of state nonmember banks recently evaluated for compliance with the Community Reinvestment Act (CRA).  www.fdic.gov/news/news/press/2014/pr14105.html

December 4, 2014 - Federal Reserve Board issues enforcement action with Tennessee State Bank.   www.federalreserve.gov/newsevents/press/enforcement/enf20141204a1.pdf

December 4, 2014 - NCUA - Agenda for the 12/11/2014 NCUA Board Meeting is Available.  www.ncua.gov/about/Pages/Agendas/AG20141204.aspx

December 4, 2014 - NCUA - Matz: Credit Union System Grew with and Boosted the Economy in Third Quarter - ?Highest Loan Growth Since 2006; Interest-Rate Risk Moderating, but Still a Concern - Federally insured credit unions boosted lending in all categories in the third quarter of 2014, the National Credit Union Administration reported today. www.ncua.gov/News/Pages/NW20141204Q3Facts.aspx

December 3, 2014 - NCUA - Metropolitan Church of God Credit Union Closes - The Michigan Department of Insurance and Financial Services today liquidated the Metropolitan Church of God Credit Union of Detroit and appointed the National Credit Union Administration as liquidating agent. www.ncua.gov/News/Pages/NW20141203Liquidation.aspx

December 3, 2014 - Comptroller Discusses the Supervision of Federal Branches and Agencies of Foreign Banks - Comptroller of the Currency Thomas J. Curry today discussed the Office of the Comptroller of the Currency’s approach to supervising federal branches and agencies of foreign banks. www.occ.gov/news-issuances/speeches/2014/pub-speech-2014-164.pdf

December 3, 2014 - Listen to St. Louis Fed Economist Discuss the December Beige Book - The St. Louis Fed has released audio highlights of the Federal Reserve's latest Beige Book, released on Dec. 3, 2014. The sound clips summarize economic conditions for the United States as a whole, as well as for the Fed's Eighth District, based in St. Louis. www.stlouisfed.org/newsroom/displayNews.cfm?article=2384

December 3, 2014 - Beige Book - Informal review by the Federal Reserve Banks of current economic conditions in their Districts.   www.federalreserve.gov/monetarypolicy/beigebook/beigebook201412.htm

December 3, 2014 - Cyclically Adjusted Current Account Balances - Jane Haltmaier - The Great Financial Crisis coincided with a sizable reduction in global external imbalances, defined as the absolute value of the sum of individual country current account surpluses and deficits relative to global GDP.  www.federalreserve.gov/econresdata/ifdp/2014/files/ifdp1126.pdf

December 3, 2014 - Governor Lael Brainard - The Federal Reserve's Financial Stability Agenda - At the Hutchins Center on Fiscal and Monetary Policy, The Brookings Institution, Washington, D.C. www.federalreserve.gov/newsevents/speech/brainard20141203a.htm

December 2, 2014 - OCC Issues First Quarter 2015 CRA Evaluation Schedule - The Office of the Comptroller of the Currency today released its schedule of Community Reinvestment Act evaluations to be conducted in the first quarter of 2015. www.occ.gov/news-issuances/news-releases/2014/nr-occ-2014-163.html

December 2, 2014 - Comptroller Discusses Efforts to Reduce Regulatory Burden - Comptroller of the Currency Thomas J. Curry today encouraged public and industry participation in the federal banking regulators’ decennial review to identify regulations that are outdated, unnecessary, or needlessly burdensome.  www.occ.gov/news-issuances/speeches/2014/pub-speech-2014-162.pdf

December 2, 2014 - Financial Regulators Release 2014 Bank Secrecy Act/Anti-Money Laundering Examination Manual - The Federal Financial Institutions Examination Council today released the revised Bank Secrecy Act/Anti-Money Laundering Examination Manual.  www.ffiec.gov/press/pr120214.htm

December 2, 2014 - How Public Information Affects Asymmetrically Informed Lenders: Evidence from a Credit Registry Reform - M. Ali Choudhary and Anil K. Jain - We exploit exogenous variation in the amount of public information available to banks about a firm to empirically evaluate the importance of adverse selection in the credit market.  www.federalreserve.gov/econresdata/ifdp/2014/files/ifdp1125.pdf

December 2, 2014 - Notice of Open Board Meeting - Will be held on December 9, 2014. Matter(s) considered: Proposal to Establish Risk-Based Capital Surcharges for Systemically Important Bank Holding Companies. www.federalreserve.gov/aboutthefed/boardmeetings/20141209open.htm

December 2, 2014 - Payment Systems - Quarterly Data Updates: Fedwire Funds Service, Fedwire Securities Service, and National Settlement Service.   www.federalreserve.gov/paymentsystems/default.htm

December 2, 2014 - Governor Lael Brainard - Opening Remarks - At the Economic Growth and Regulatory Paperwork Reduction Act Outreach Meeting, Los Angeles, California.  www.federalreserve.gov/newsevents/speech/brainard20141202a.htm

December 2, 2014 - Federal Reserve announces College Fed Challenge winners - Pace University won the 11th annual national College Fed Challenge on Tuesday, a competition that encourages students to learn about the U.S. economy, monetary policymaking, and the role of the Federal Reserve System.  www.federalreserve.gov/newsevents/press/other/20141202a.htm

December 2, 2014 - Federal Reserve Board announces termination of enforcement actions with Metro North Bancshares, Inc., and United Security Bancshares, Inc., and United Security Bank. www.federalreserve.gov/newsevents/press/enforcement/20141202a.htm

December 1, 2014 - Regulation of OTC Derivatives - Economic Perspectives article discusses policy issues raised by the G-20 market structure mandates. - Derivatives have long been important tools for managing risk. In particular, as Culp (2004) explains, “derivatives can be used as a means of engaging in risk transfer, or the shifting of risk to another firm from the firm whose business creates a natural exposure to that risk”.  www.chicagofed.org/digital_assets/publications/economic_perspectives/2014/3Q2014_part2_ruffini_steigerwald.pdf

December 1, 2014 - Registration Still Open for NCUA’s Internal Controls Webinar - Learn the Best Practices for Preventing Fraud and Employee Dishonesty - There is still time to register for the National Credit Union Administration’s Dec. 17 webinar, “Best Practices for Strong Internal Controls,” hosted by NCUA’s Office of Small Credit Union Initiatives. www.ncua.gov/News/Pages/NW20141201Webinar.aspx

December 1, 2014 - Credit and Liquidity Programs and the Balance Sheet - Recent balance sheet trends, weekly chart data update.   www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm

December 1, 2014 - Federal Reserve Board announces adoption of changes to part II of the Federal Reserve Policy on Payment System Risk - The Federal Reserve Board on Monday announced the adoption of changes to part II of the Federal Reserve Policy on Payment System Risk that are designed to enhance the efficiency of the payment system.  www.federalreserve.gov/newsevents/press/other/20141201a.htm