Fed's Barr on regulation: Benefits of proposed higher bank capital outweighs the costs

<p>Fed's Barr has put on his regulatory hat as vice chairman of supervision and says:</p><ul><li>Benefits of proposed higher bank capital outweighs the costs.</li><li>Proposed higher capital requirements could raise funding costs for banks, but will enable them to absorb more losses.</li><li>Post capital hikes would primarily impact banks trading, have limited impact on banks lending costs.</li><li>Welcomes all comments on proposed rule to ensure that they accurately reflect risk.</li></ul><p>Will be paying attention to any comments that he may have on the economy or monetary policy post the US jobs report on Friday</p>

This article was written by Greg Michalowski at www.forexlive.com.