Banks to be required to hold 'liquid' assets
The Federal Reserve and two other agencies moved toward adopting rules Wednesday that will subject big U.S. banks for the first time to so-called "liquidity" requirements. Liquidity assures the ability for banks to access cash quickly.
The largest banks - those with more than $250 billion in assets - will have to hold enough cash, government bonds and other high-quality assets to fund operations for 30 days during a time of market stress.
Regulators also are giving banks leeway in requiring collateral from companies that use derivatives to guard against price swings.
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