benoit cœure : european capital markets - priorities and challenges dinner remarks by mr benoit cœure, member of the executive board of the european central bank, at the international swaps and derivatives association, frankfurt am main, 25 june 2019. * * * the past decade has seen remarkable achievements in strengthening global financial regulation, and in making our economies safer and more resilient, thanks in large part to the work of the international community under the auspices of the financial stability board ( fsb ). but now, more than ten years after the crisis, priorities have shifted and there are concerns that the cooperative multilateral order that has underpinned past international achievements is increasingly being questioned. in my remarks this evening i will argue that dismantling regulatory standards would be a mistake, and would add to market fragmentation. i will also argue that the current low levels of financial integration in the euro area are inefficient, and that, as a response, we need to intensify our efforts if we want to achieve tangible progress in completing banking union and creating a true capital markets union ( cmu ). in the last part of my remarks i will briefly touch on the ongoing reform of interest rate benchmarks, which is essential to safeguard the smooth transmission of monetary policy and the resilience of the financial system. market fragmentation as a source of concern the achievements of the fsb and the global standard - setting bodies since the financial crisis are remarkable. by rolling out international standards and new principles for regulatory cooperation, they have made global financial markets more integrated and our financial system safer and more resilient, protecting taxpayers from costly bailouts. we have also made significant progress at a regional level. in the euro area, we now have a single banking supervisor that harmonises supervisory actions across participating countries. at the level of the european union ( eu ), the commission and the co - legislators have also strengthened the single rulebook and launched an ambitious agenda for creating a cmu. but with the financial crisis gradually disappearing in the rear - view mirror, ambition for further reforms is weakening and reluctance to implement already agreed standards is rising. hidden forms of financial protectionism, or a relaxation of regulation, would turn back the clock on internationally agreed rules, revive distrust, and risk regulatory arbitrage and a race to the bottom. as a result, market fragmentation has become one of the more pressing issues for global standard - setting bodies and the financial community in recent months. the japanese g

daleep singh : implementing the fed ’ s facilities - moving at maximum speed with maximum care remarks ( via audio webinar ) by mr daleep singh, executive vice president and head of the markets group of the federal reserve bank of new york, before the money marketeers of new york university, 17 april 2020. * * * as prepared for delivery good morning everyone. thanks for being here, and let me begin by offering best wishes for everyone ’ s health under these difficult circumstances. i should also make clear at the outset that the views i express are my own and do not necessarily reflect those of the federal reserve bank of new york or the federal reserve system. in my remarks today i ’ d like to review the context in which the federal reserve launched an unprecedented set of policy actions, and i will then describe our approach to standing up emergency facilities at maximum speed with maximum care as we execute our mission. context in mid - march as you will no doubt recall, financial markets in mid - march were seized by the uncertainty caused by virus outbreak, both in terms of the speed and scale of impact on the economic outlook, and for society as a whole. extreme uncertainty triggered unprecedented market volatility across asset classes, escalating into a system - wide deleveraging event that appeared to overwhelm the capacity of financial intermediaries to absorb and transfer risk in an orderly manner. liquidity dried up across markets, including in u. s. treasuries, the benchmark upon which virtually every other asset is priced or hedged, the foundation for the dollar ’ s primacy as a reserve currency, and the source of funding for our federal government. as uncertainty rose and liquidity deteriorated, demand for cash and safe assets rose and demand for assets with any form of credit or liquidity risk plummeted. for a few weeks in march, even treasury yields began to rise, especially in longer maturities, and so did the cost for almost all forms of household and corporate borrowing. access to financing beyond overnight tenors became severely impaired, causing acute dislocation across short - term funding markets and triggering outflows across prime money market funds. in the race to safety, dollars became increasingly scarce, intensifying the stress across global markets. emerging market economies experienced an unprecedented outflow of capital from non - residents. sovereign yields surged in the most indebted european countries. the ominous reality was that a synchronized global selloff had taken on a life of