Central Banks
Powell Huddles With Bank CEOs to Avoid Long Legal Fight Over Capital Plan
- Banks ask Powell whether Fed will act solo on unveiling revamp
- Fed chair urged lenders to bring issues to central bank
This article is for subscribers only.
Federal Reserve Chair Jerome Powell recently attended a closed-door meeting with a group of big-bank CEOs, encouraging them to work with the Fed to avoid a years-long legal battle over the Biden administration’s landmark capital proposal.
Powell told the bank chiefs, including JPMorgan Chase & Co.’s Jamie Dimon and Citigroup Inc.’s Jane Fraser, that the public would have the chance to weigh in on key changes to the plan, according to people with knowledge of last month’s gathering hosted by the Financial Services Forum, a trade group for the largest US banks.