Forex News - Federal Reserve Bank of New York may require daily liquidity reports are more detailed than foreign financial institutions as the U.S. continues to monitor the risk of the debt crisis of Europe, according to Bloomberg resource. Regulators have talked with several European banks to generate reports daily liquidity which may include foreign-exchange swaps and credit-default swaps.
There are concerns over the performance of European banks as the Greek may be a natural default. U.S. Treasury Secretary, Timothy F. Geithner, Europe has warned that failure could trigger defaults, bank runs and a disaster for the global economy. Money funds have been away from the U.S. even some European banks. Monetary ECB council member Yves Mersch, has uttered the lack of liquidity can disturb the European banking system.
" The Fed was reviewing the issue of liquidity and other risks that can be caused by foreign banks to the U.S. financial system, " said Kevin Petrasic, a lawyer at Paul, Hastings, Janofsky Walker & LLC. " There is an urgent need for Europe to see ongoing conditions. "
Meanwhile, EUR / USD fell on the New York session, was trading near the low-level daily 1.3318 1.3311
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