2023-03-22 Payments Canada Payments Canada introduces data-rich messages to high-value payments in Canada with Lynx Release Two Introduction Here is the verbatim release from Payments Canada for my future reference. It is worth noting that ISO 20022 is the recognised protocol for messaging going forward. — — March 21, 2023 ISO 20022 will support the introduction of new financial products and services for consumers and businesses across Canada OTTAWA, March 21, 2023 – Today, Payments Canada announced the launch of the second release of Lynx, Canada’s high-value payment system. This follows the successful launch of Lynx in August 2021, replacing … Continue reading Payments Canada introduces Lynx Release Two Payments

The Canada banking regulator (OSFI) is increasing the pace of reporting required of Banks. Here follows notes on a few items of note related to increasing risk pre and post SVB. OSFI increases monitoring to daily Globe and Mail Canada’s regulator is taking extra precautions. OSFI has told banks that, starting as early as Tuesday and until further notice, they will be required to send the regulator liquidity reports each day through an existing monitoring tool that tracks banks’ financial positions, the two sources said. The added monitoring is not a sign of imminent concern, they said, but it is … Continue reading OSFI (Canada) increases pace of Bank Regulation following SVB collapse

OSFI to start daily monitoring of Canadian banks’ liquidity in wake of SVB failure. Globe and Mail. Bundesbank chief says rate-setters must be ‘more stubborn’ in inflation fight. FT Financial turmoil complicates central banks’ focus on inflation FT What to Know Ahead of the Fed’s Interest-Rate Decision Bloomberg All eyes in the financial and economic world will be laser-focused Wednesday on the Federal Reserve as Chair Jerome Powell tries to balance his fight against inflation against a sudden banking crisis. RBC tells employees to return to the office three or four days a week TikTok caught in US-China battle over … Continue reading What I am watching 2023-03-24

This is the consequence of the Fed having left monetary policy too loose for too long Gillian writes an excellent piece that adds colour to the root cause discussion on SVB. It captures a thought process set of risks not addressed by Dodd-Frank, OSFI or British regulation which all more broadly focus on discrete individual FI’s and less the systemic risks in the market that few want to touch. Already I sense the market participants are glossing over the crisis and suggesting it is contained. I disagree and am doing my own analysis to test that hypothesis. It is time … Continue reading SVB exposes a significant carry trade problem