📝EBF Morning Brief - Wednesday 5 June 2024: ECB rate-cut expectations unravel before first move

FROM THE MEDIA

Bloomberg: ECB rate-cut expectations unravel before first move

Strong economic data and vocal European Central Bank (ECB) hawks are pushing some analysts and investors to waver in their expectations for interest-rate cuts this year. According to Bloomberg, while most economists still foresee quarterly reductions following this week’s initial move, some reckon sticky inflation, rapid wage growth and surprisingly robust euro-zone output will constrain monetary loosening. Read more

Finextra: Central banks to test FX settlement in wCBDC

As reported by Finextra, the Bank for International Settlements (BIS) is launching Project Rialto to explore how instant cross-border payments could be improved using a modular foreign exchange component combined with settlement in wholesale central bank digital currencies (wCBDC). Read more

Reuters: ECB ready to force banks to tackle climate risk, Buch says

Eurozone banks are making progress in tackling climate-related risk but need to do more and the European Central Bank (ECB) is ready to force them to act if necessary, Claudia Buch, Head of the ECB Supervisory Board, said as noted by Reuters. Read more

FROM EBF MEMBERS

ABBL: Luxembourg's Private Banking: a strategic advantage

The Luxembourg private banking sector has emerged as a significant player in the European financial landscape, renowned for its expertise in managing complex, multijurisdictional wealth. Jerry Grbic, Luxembourg Bankers' Association (ABBL) CEO, delves into the strategic advantages that position Luxembourg at the forefront of private banking. Read more

SBA: Electronically signed documents in housing transactions

The Swedish Bankers‘ Association (SBA) has conducted a survey to provide information on banks’ acceptance of electronically signed documents in housing transactions. The survey is based on data gathered from eight banks. Read more (SE)

Finance Latvia: Entrepreneurs invited to the "Capital Market Academy"

The local capital market continues to develop and, in order for more local entrepreneurs to learn about their opportunities, Latvia's leading investment bank, Signet Bank, invites business owners and managers to a free "Capital Market Academy". Read more (LAT)

FROM THE INSTITUTIONS

ESMA: Invitation for comments on the review of the investment firms prudential framework

The European Banking Authority (EBA) and the European Securities and Markets Authority (ESMA) published a discussion paper on the potential review of the investment firms’ prudential framework. The discussion paper aims at gathering early stakeholder feedback to inform the response to the European Commission’s call for advice. Read more

European Council: The new AMLA

The European Council adopted a regulation setting up a new anti-money-laundering authority (AMLA) to improve AML/CFT supervision in the EU and support cooperation between financial intelligence units. AMLA will be based in Frankfurt and will start operations in the second half of 2025. Read more

ESAs: Call for enhanced supervision and improved market practice on sustainability-related claims

The European Supervisory Authorities (ESAs) published their Final Reports on Greenwashing in the financial sector. In their respective reports, the ESAs reiterate the common high-level understanding of greenwashing as a practice whereby sustainability-related statements, declarations, actions, or communications do not clearly and fairly reflect the underlying sustainability profile of an entity, a financial product, or financial services. Read more