Fed-Overseen Banks Did Fine in Archegos Meltdown, Quarles Says

Wall Street banks overseen by the Federal Reserve didn’t seem to represent a safety concern in the meltdown of Archegos Capital Management, said Fed Vice Chairman for Supervision Randal Quarles, though the central bank is reviewing its supervision and regulations.

“The great bulk of the losses that were incurred in relation to Archegos occurred outside the United States,” Quarles said in testimony at a House Financial Services Committee hearing on Wednesday. Because most U.S. lenders supervised by the Fed didn’t share in more than $10 billion in losses -- apart from Morgan Stanley losing nearly $1 billion -- ...