Quarles addresses Institute of International Bankers

This story appeared in Bank Digest.

Federal Reserve Board Vice Chair for Supervision Randal K. Quarles has delivered remarks at the 2020 Virtual D.C. Summit of the Institute of International Bankers. His speech, “Optimism in the time of COVID,” addresses the global economy as well as the U.S. economy and its outlook. The speech also addresses the new long-run monetary policy strategy recently announced by the Federal Open Market Committee, and financial stability and regulatory issues. Quarles spoke about some of the implications of the COVID event for banks and for financial stability, noting that while large U.S. banks entered this crisis in strong condition, the Fed has taken a number of steps to help bolster banks’ resilience. He also stated that nonbank financial firms, especially those engaged in liquidity transformation, experienced acute strains in March. Quarles has put together a senior group of market regulators and central bank governors to develop a holistic review of the March stresses in nonbank finance.