Morning Bell

Regulators focus on shadow banking
Critics say the shadow-banking system, which is about half as large as the global banking industry, could prompt the next financial crisis. The situation has global regulators taking note. The Financial Stability Board is concerned that shadow banks could be used to attract risky activities and avoid regulations. "What we're doing now is looking at the types of data that the FSB will be gathering," said Rick Watson of AFME. "The scope is pretty broad, but it's important to get the facts on table and consider what activities could pose a risk." Reuters(07 Feb.), AdvisorOne.com(07 Feb.)

Industry News

ECB reportedly makes key concessions on Greek bond holdings
The European Central Bank helped narrow a gap in Greece's finances by making concessions on its holdings of the country's sovereign bonds, sources said. The move helps clear the way for another rescue for Greece. As long as Greece's debt-restructuring talks are successful, the ECB will swap its bonds at a price below face value. The Wall Street Journal(08 Feb.)

 Portugal makes progress on fiscal plans, EFSF official says
Klaus Regling, head of the European Financial Stability Facility, said the Portuguese government is moving forward with plans to improve its fiscal position. "Portugal is on track, but the markets are not rewarding it yet," Regling said. "I'm confident that with the new government that was elected with a mandate for change, they will continue." The Wall Street Journal(07 Feb.)

Judge dismisses MBS suits against Deutsche Bank
US District Judge Jed Rakoff dismissed lawsuits brought by Dexia and the Teachers Insurance and Annuity Association of America against Deutsche Bank. The plaintiffs alleged that the bank misrepresented the quality of mortgage-backed securities. Rakoff said the cases could be refiled if they focus specifically on MBS produced by the bank. The Wall Street Journal/Dow Jones Newswires(07 Feb.), Reuters(07 Feb.), Bloomberg Businessweek(08 Feb.)

Morning Bell

Foreign governments continue to pressure U.S. on Volcker rule
Regulators and central bankers from the U.K., Canada and Japan have already voiced concerns with U.S. officials about the Volcker rule, and other foreign entities are expected to follow suit. The European Commission reportedly plans to speak with officials at the Treasury Department. Rob Toomey, managing director and associate general counsel at SIFMA, said the group backs calls to exempt sovereign-debt trading. "We spot-on agree with the positions taken by these foreign authorities -- how they are viewing the restrictive interpretation of market making and how that impacts their debt," Toomey said. See SIFMA's Volcker Rule Resource Center, including two recent studies on the impact of the proposed rule. IFLR.com (subscription required)(2/7)

Industry News

ISDA and SIFMA ask judge to suspend position limits rule
ISDA and SIFMA asked a federal judge to suspend a Commodity Futures Trading Commission rule that limits commodity speculation. "Compliance efforts will include restructuring of corporate relationships and divestment -- irreversible changes in ownership," Eugene Scalia, a lawyer for the associations, wrote in a court filing. "These costs are being incurred now and will continue to rise absent a preliminary injunction, and they will be impossible to recoup if the rule is invalidated -- as it likely will be." Bloomberg Businessweek(2/7), Reuters(2/7)

FinCEN demands anti-money-laundering programs from nonbank lenders
The Financial Crimes Enforcement Network is requiring nonbank mortgage lenders to develop anti-money-laundering plans and file reports about suspicious activities. FinCEN Director James H. Freis Jr. said the final rule closes a gap in regulations. SIFMA AML 2012is your opportunity to hear from FinCEN officials, other top federal regulators, and experts from across the financial services industry. Register today. American Banker (free registration)(2/7)

Muni sector largely unaffected by European crisis, Moody's says
A Moody's Investors Service report says the European sovereign-debt crisis has not significantly affected the credit quality of the U.S. municipal sector. "The U.S. municipal market's most direct links to the credit challenges faced by European governments and banks is through the issuers' exposure to material counterparty risk," said Tim Blake, managing director at Moody's. "These exposures are low in the aggregate but are material for a small number of issuers and such risks are already incorporated in our municipal ratings." The Bond Buyer (subscription required)(2/7)

L'imbroglio européen sur les OGM

07/02Sujet de société sensible, les OGM cristallisent les divisions et tensions au sein de l’UE depuis plusieurs années. L’issue des négociations reste floue, malgré les dernières tentatives du Danemark, qui préside l’UE, de présenter de nouveaux compromis.
 

Dernières nouvelles de la zone euro

08/02En Grèce, les négociations entre le gouvernement et la troïka (UE, FMI, BCE) sont dans l’impasse. Mardi 7 février, le drapeau allemand a été brûlé dans les rues d’Athènes.
 

La présidentielle, vue(s) d'Europe

08/02Merkel soutient Sarkozy. Qu’à cela ne tienne, le SPD a déclaré être favorable au socialiste François Hollande. Le chef du parti, Sigmar Gabriel, pourrait venir en France pour s’afficher aux côtés du candidat, selon le Frankfurter Rundschau.
 

Les agriculteurs interpellent les candidats à la présidentielle

08/02Principal syndicat agricole français, la FNSEA est résolue à peser dans la campagne électorale pour sensibiliser les candidats aux enjeux du secteur. A Bruxelles, les négociations sur la réforme de la PAC se poursuivent.
 

Europe et services sociaux : le sursaut pédagogique viendra-t-il?

08/02Bruxelles contraint les collectivités locales à repenser la façon dont elles organisent et financent les services locaux. Mais sans effort d’explication, les nouvelles règles européennes risquent de rester lettre morte.
 

La place de la Turquie est dans l'UE, réaffirme le président du Parlement

07/02Selon Martin Schulz, récemment élu à la tête du Parlement européen, le pays devra, après un processus long et difficile, adhérer à l’Union européenne.
 

Infrastructures électriques : les Vingt-Sept veulent garder la maitrise des délais

07/02La proposition européenne visant à limiter à trois ans les procédures d’autorisation pour la construction de nouvelles lignes se heurte à l’opposition des Etats.