Powell says Fed will ‘make sure’ swap market can ditch Libor

Central bank will coordinate switch to new risk-free benchmark

Jerome Powell. Photo: Bipartisan Policy Center

Derivatives markets have two years to end their Libor love affair, but may need help to do so. They will get it, says Jerome Powell, a member of the Board of Governors of the Federal Reserve System. Powell co-chaired the group of 21 officials behind a Financial Stability Board (FSB) report published in July, which advocates moving the market to a variety of new benchmarks – a revamped, tamper-proof Libor, as well as a selection of near-risk-free rates, with at least one of the latt