Wall Street Seeks Further Relaxation of Basel Capital Rules, Citing Treasury Market Risks

Leading financial institutions are pressuring U.S. regulators to modify proposed "Basel Endgame" capital requirements for banks. They contend that the current proposals, particularly those related to market risk, could severely impact liquidity in the vast Treasury markets by increasing capital burdens on trading activities. This lobbying effort aims to reduce overall capital requirements for American banks, building on past successes in softening regulatory measures.