Plans from US regulators to depart from new global rules on bank trading capital are fueling calls on the other side of the Atlantic to do similar.
The US announced plans on Thursday to implement the latest suite of Basel global capital reforms as part of a broader relaxation of rules. Under the proposals, it will implement the Fundamental Review of the Trading Book — avoiding the worst outcome for other global regulators, who had privately feared the US would abandon this element.
But it will go ahead without the “output floor” for banks’ markets businesses, which is designed to ...