MNI BRIEF: Trump Likely To Let Powell Serve Full Term-Moore

MNI BRIEF: Canada Household Debt Tops $3 Trillion In 3Q

MNI BRIEF: Trump Likely To Allow Powell To Serve Term - Moore

MNI BRIEF: China To Keep Stabilising Housing Market - CEWC

MNI BRIEF: China Focus On Boosting Consumption In 2025

MNI BRIEF: China To Cut Rates, Boost Borrowing-Work Conference

US EIA:NAT GAS STORAGE -190 BCF TO 3,747 BCF DEC 06 WK

MNI: US JOBLESS CLAIMS +17K TO 242K IN DEC 07 WK

MNI: US NOV FINAL DEMAND PPI +0.4%, EX FOOD, ENERGY +0.2%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

NY Fed VP Michael Held: LIBOR Transition Update

FED
NY Fed Executive Vice President and General Counsel Michael Held gave an update on LIBOR transition at ISDA Benchmark Strategies Forum. Citing ""headwinds in the loan market" Held states:
  • "One of our main concerns about the transition is a worry that we've had for a while now: inertia in the loan market, especially the syndicated loan market. Lending in alternative rates is not where it should be at this point. Lending banks especially need to move to alternatives, and push their borrowers to move."
  • Held notes in a survey a few months ago that "almost two-thirds of nonfinancial borrowers reported that their banks were still not offering them non-LIBOR borrowing alternatives, or even talking to them about what the alternatives might be."
  • Held said "SOFR will clearly be the dominant, most robust, most liquid rate going forward. The ARRC has recommended SOFR as the best LIBOR alternative but has no control over your choice to use it or not."
  • Fallbacks: "The end game set out for the LIBOR transition allows existing legacy U.S. dollar LIBOR linked contracts that mature by the end of June 2023 to roll off. That should cut down significantly on the scale of legacy LIBOR contracts that need to be amended. But for those contracts that do mature after mid-2023, having workable fallback language is essential."
  • Link: HELD
Energy BulletsCommodities
Energy BulletsCommodities

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.