Federal Reserve is quietly demanding that regional lenders shore up liquidity planning

<p>The Federal Reserve has issued a batch of private warnings to lenders with assets of $100 billion to $250 billion.</p><p>This is part of increased efforts to tighten supervision, Bloomberg News reported. Bloomberg is gated, the news wire citing people familiar with the matter.
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Among the banks given the warnings were Citizens Financial, Fifth Third Bancorp and M&amp;T Bank Corp.</p><p>Notices touched on a wide range of issues including lenders’ capital and liquidity as well as technology and compliance.</p><p>–</p><p>The background to this is banks are dealing with the aftermath of the biggest crisis to hit the sector since 2008, which saw three mid-sized US lenders collapse earlier this year. A scalp was claimed earlier this week:</p><ul><li><a href="https://www.forexlive.com/centralbank/the-head-of-banking-supervision-at-the-san-francisco-federal-reserve-to-retire-20230828/" target="_blank" rel="follow" data-article-link="true">The head of banking supervision at the San Francisco Federal Reserve to retire</a></li></ul><p>–</p><p>JP Morgan scooped up some bargains in the immediate aftermath.</p>

This article was written by Eamonn Sheridan at www.forexlive.com.