RSS feedinterbank
’Inter-bank, minus the bank
That the European Central Bank has stepped in to replace much of the eurosystem liquidity that used to be provided by the banks’ themselves is well-known. Did you know, however, that one measure of the ECB’s liquidity provision is now higher than in the depths of the 2008 financial crisis?
It’s the ECB’s so-called ‘recycling’ of bank deposits,
Ireland shakes, rattles and rolls
Last week was not the best for Ireland.
The ‘I’ in, err, SGIP, saw the first major blip in its sovereign spreads since the European banking stress tests, as Bank of Ireland reported a(nother) loss,
Baseled and interBank
Is this the first rumbling of an unintended consequence in Basel III?
The Basel Committee released its watered-down vision of a new era in bank regulation, complete with liquidity buffers and leverage ratios,
Monday funding fears
So much for any interbank market relief after the stress tests.
The below just out from the European Banking Federation:
That’s about a one-year high for the Euro Interbank Offered Rate.
The slow upward grind of money market rates is a bit of an issue for some European banks.
July 1 could be the day liquidity dies
We’ve mentioned July 1 a couple times before.
That’s the day the European Central Bank’s first and largest 12-month Long Term Refinancing Operation (LTRO) will run out. It’s also the day Barclays US money market analyst Joseph Abate expects three-month dollar Libor to start rising,
Eurozone liquidity murmurs
You’re looking at use of the European Central Bank’s marginal lending facility, which allows eurozone banks to pledge collateral in return for short-term liquidity. You can see there’s been a relative spike in usage over the past few days.
Libor is useless
Much has been made of Libor’s recent descent to post-Lehman crisis lows. But while some say it marks the return of a healthy interbank lending market, others — rising in number by the way– appear to see it as evidence of Libor’s growing irrelevance.