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Top U.S. regulator wants Libor, Euribor scrapped

By Huw Jones LONDON (Reuters) - Two interest rate benchmarks that banks were fined for rigging should be scrapped and replaced by indicators based on market transactions, a top U.S. regulator said on Monday. The changes should also include benchmarks linked to gold, oil and other commodities, said Gary Gensler, chairman of the Commodity Futures Trading Commission said.

FSB's Carney wants Libor reform tackled by spring 2014

By Louise Egan and William Schomberg WASHINGTON (Reuters) - Global regulators will provide more clarity in a year's time on guidelines for financial benchmarks like Libor, Bank of Canada Governor Mark Carney said on Thursday, after a global rate-rigging scandal led to calls for reform of the system. Finance officials from the Group of 20 major economies plan to task the Financial Stability Board (FSB) - which Carney heads - with overseeing the reform of such benchmarks, two sources familiar with the situation told Reuters.

EU antitrust chief sees decisions in Libor probe by end of year

WASHINGTON (Reuters) - Europe's competition authority should have its first decisions by the end of the year in an investigation of alleged manipulation of key international interest rates, EU Competition Chief Joaquin Almunia said on Friday. Regulators in Europe, the United States and elsewhere have been looking into charges that traders fixed the interest rates offered on the Euro Interbank Offered Rate (Euribor) and London Interbank Offered Rate (Libor). The loans were denominated in dollars, euros and in the Swiss franc.

Japan slaps RBS's wrist over LIBOR fixing

Japan's financial watchdog on Friday gave a slap on the wrist to the local arm of Royal Bank of Scotland over a rate-fixing scandal that saw the firm fined $612 million by UK and US regulators. Despite noting that a local trader had played a part in the LIBOR rigging that has rocked confidence in the financial world and saying the actions "could undermine the market integrity", the regulator issued little more than a ticking off.

Japan orders RBS to boost compliance after rate manipulation

TOKYO (Reuters) - Japan's financial industry regulator ordered Royal Bank of Scotland's <RBS.L> Tokyo-based investment bank to bolster compliance after finding employees had sought to manipulate interest rates to profit on derivative trades. The Financial Services Agency's order to RBS Securities Japan is the latest punishment meted out by a regulator in the wake of a global scandal over the rigging of The London Interbank Offered Rate (Libor) and other benchmark rates.

Bank of England keeps interest rate at record-low 0.5%

The Bank of England on Thursday voted to leave its main lending rate at a record-low level of 0.50 percent and refrained from pumping out more new cash to help stimulate Britain's recession-threatened economy. "The Bank of England's Monetary Policy Committee today voted to maintain the official Bank Rate paid on commercial bank reserves at 0.5 percent," the BoE said in a brief statement at the conclusion of its regular monthly meeting. bcp/rfj/arp

Barclays needs pay reform after Libor crisis

Britain's troubled Barclays bank needs to further overhaul its pay policy after an "overly generous" bonus culture was blamed for problems which sparked last year's Libor rate-rigging scandal, an independent review said Wednesday. The report was carried out by top lawyer-turned-banker Anthony Salz, who was commissioned by Barclays in July 2012 to examine the bank's culture in the wake of the damaging Libor affair.

UBS wins bid to seal cases of dismissed Singapore FX traders - sources

SINGAPORE (Reuters) - The Singapore High Court has agreed to a request by UBS AG <UBSN.VX> to seal documents in two cases brought by traders fired by the bank during its investigation into reference rate manipulation, two people with direct knowledge of the matter said. UBS argued in an affidavit last month that premature disclosures regarding the bank's investigation into the two former traders would hamper its ongoing probe, as well as a review under way globally by regulators who are looking into the manipulation of rate fixings.

key rate-March minutes

SEOUL, April 2 (Yonhap) -- Policymakers at South Korea's central bank froze the key interest rate in a 6-1 vote for March while one member argued for a rate cut, citing economic uncertainty and easing moves by other central banks, the bank's minutes showed Tuesday. At a rate-setting meeting held on March 14, the Bank of Korea (BOK)'s seven-member monetary policy committee decided to leave the benchmark 7-day repo rate unchanged at 2.75 percent for the fifth straight month. The bank cut the key rate in July and October last year.

Banks score major win in private Libor suits

By Nate Raymond and Carrick Mollenkamp NEW YORK (Reuters) - The world's biggest banks won a major victory on Friday when a U.S. judge dismissed a "substantial portion" of the claims in private lawsuits accusing them of rigging global benchmark interest rates. The 16 banks had faced claims totalling billions of dollars in the case, which had been considered the biggest legal threat that they faced aside from investigations being pursued by regulators in the United States, Europe and Britain.
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