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MNI BRIEF: NY Fed Official: SOFR Growth Key For Libor Shift

(MNI)

U.S. firms should be accelerating plans to transact in SOFR-based cash and derivatives products as they move away from LIBOR contracts next year, Nathaniel Wuerffel, a senior official at the New York Fed, told a SIFMA conference Thursday.

Issuing more cash contracts that use SOFR, the designated successor to LIBOR in the U.S., will build demand for SOFR derivatives, a necessary step to develop forward-looking term SOFR rates, he said. That would be the last step in the transition away from LIBOR.

MNI Washington Bureau | +1 202-371-2121 | jean.yung@marketnews.com
MNI Washington Bureau | +1 202-371-2121 | jean.yung@marketnews.com

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