One line intrigued me in Federal Reserve chairman Ben Bernanke’s speech yesterday, which was otherwise a bland recap of Fed positions on financial reform. In his comments on improving information about risks to the financial system he said that:
…the Federal Reserve is expanding its already-extensive commitment to the collection and analysis of financial data. For example, efforts are under way to construct better measures of counterparty credit risk and interconnectedness among systemically critical firms.
In particular, to better identify potential channels of financial contagion, supervisors are working to improve their understanding of banks’ largest exposures to other banks, nonbank financial institutions, and corporate borrowers. We are also collecting data on banks’ trading and securitization exposures, as well as their liquidity risks, as part of an internationally coordinated effort to improve regulatory standards in these areas.
New Fed measures of credit risks Read more
Has anyone noticed how Europe’s fiscal sinners aren’t faring too well in the World cup, while fiscal saints enjoy a winning streak? Well, a back of the envelope calculation has shown a 70 per cent correlation. By this logic, Estonia should have made it to the final.
Expect a stronger Swiss franc: the central bank has dropped a key phrase about countering “excessive appreciation” of its currency after several hints (see 
Chris Giles
Michael Steen
Robin Harding
Ralph Atkins
Claire Jones
