Federal Reserve
Interagency proposal tailors third-party risk management
Four US banking regulators have requested public comment on proposed third-party risk management guidance that replaces the 2023 framework.
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18-month bank exam threshold raised to $6 billion
Federal banking regulators have raised the asset threshold for qualifying community banks to receive 18-month on-site examination cycles from $3 billion to $6 billion.
Yen depreciation lifts foreign affiliate profits over domestic output
Currency depreciation raises foreign affiliate profits and cross-border investment income rather than stimulating domestic factory production, according to Federal Reserve research.
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Pandemic migration lifts rents 25 percent in lowest-cost markets
A Federal Reserve Board study finds that pandemic remote work migration drove faster rent increases in previously low-rent areas than in high-rent markets between 2019 and 2022.
Waller open to rate hike if August inflation progress stalls
Federal Reserve Governor Christopher Waller indicated he favors keeping the policy rate unchanged at the September 15–16 FOMC meeting if disinflation continues.
Econometric models beat machine learning in volatility forecasts
A Federal Reserve Board study shows targeted econometric models outperform machine learning when forecasting realized volatility.
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Scenario synthesis links economic narratives to risk distributions
A Federal Reserve working paper presents Scenario Synthesis, a statistical framework that connects narrative scenario analysis with predictive risk distributions.
Barr backs second-chance lending and warns on inflation path
Federal Reserve Governor Michael S. Barr called for expanding credit access and technical support for formerly incarcerated entrepreneurs at a Washington forum on September 1, 2026.
Bank balance-sheet limits drive global risk and dollar appreciation
Global financial intermediary constraints explain why U.S. uncertainty shocks increase worldwide corporate credit spreads, widen currency risk premia, and appreciate the dollar.
State natural unemployment rates range from 3.3 to 7.5 percent
Federal Reserve researchers Hie Joo Ahn and Jeremy Rudd find that state-level natural unemployment rates across the United States varied between 3.3 percent and 7.5 percent from 1978 to 2025, undermining standard national assumptions in regional Phillips curve models.
Warsh targets 3.7 percent inflation and curbs forward guidance
Federal Reserve Chairman Kevin Warsh signaled a sharp focus on reducing 3.7 percent inflation while scaling back the central bank's use of forward guidance.
Primary credit rate kept at 3.75 percent despite four hike requests
The Federal Reserve Board maintained the primary credit rate at 3.75 percent and the interest on reserve balances at 3.65 percent in July 2026.