Low oil prices, local impact: do depressed energy markets affect banks?
Oil prices have swung dramatically in recent years, shaped by geopolitical conflicts, evolving global demand and shifting energy policies.
August 07, 2025
Accounting for interest rate risk: Matching Fed assets to liabilities
In-Depth: The Fed has floating-rate liabilities as well as long-lived, zero-interest liabilities. A barbell of floating-rate and long-duration assets would best offset the interest rate risk from these liabilities. Investing in a more diversified mix of durations, while matching the average duration of assets, could be more practical than the barbell approach but would leave a substantial portion of interest rate risk unhedged.
August 07, 2025
How do reciprocal deposit networks interact with deposit insurance?
Reciprocal deposit networks are designed to increase the total amount eligible for FDIC deposit insurance. In recent years, growth of the networks has accelerated, prompting a re-evaluation of the existing deposit insurance framework and raising at least three questions.
August 05, 2025
Research Department Working Papers
The Micro and Macro Dynamics of Capital Flows
This paper studies empirically and theoretically the effects of international financial flows on resource allocation.
August 01, 2025
Current Banking Risks
Commercial real estate, interest rates and cybersecurity are current risks for banks in the Eleventh District, per second quarter 2025 data.
August 01, 2025
How sensitive is the Treasury cash-futures basis trade to funding condition shifts?
In Depth: The Treasury cash-futures basis trade, a very large, leveraged Treasury trade, has drawn scrutiny because unwinding positions amplified stress during the pandemic-era market shock of March 2020. Although the trade has since become more prominent, recent market activity suggest that financial stability concerns have not simultaneously grown.
July 15, 2025
Research Department Working Papers
An Asset-Liability Management Approach to the Federal Reserve Balance Sheet
The Federal Reserve’s liabilities include a mix of floating-rate instruments, such as reserves, and long-duration, non-interest-bearing instruments, such as currency. This paper investigates the implications of an asset-liability management approach to choosing assets to back these liabilities, with a focus on matching the duration of assets and liabilities.
July 03, 2025
Research Department Working Papers
Technology Providers and Financial Stability: Overview of Risks and Regulatory Frameworks
Technology-focused Third-Party Service Providers (TPSPs) have become important players in the operations of financial institutions and the financial markets. This paper summarizes micro- and macro-prudential regulatory frameworks in place to address risks that TPSPs pose to the financial system.
July 01, 2025
Surveys
Banking Conditions Survey
Loan volume and demand accelerated in June after little to no growth in the prior survey.
June 30, 2025
Eleventh District Banking Trends
This quarterly report tracks the financial performance of Eleventh District banks in comparison with national averages, looking at profitability, loans, deposits and other key metrics.
June 26, 2025