US regional banks prepare for rising rates

With regulators watching closely, US banks are reining in the duration of bond portfolios

rising-rates

For deposit-takers and lenders, interest rate risk is as old as the hills, but the past few years have presented a new problem – the tipping point that is always in sight, but never arrives. It has been a particular problem in the US, where the first signs of economic recovery had analysts and economists warning about rising rates up to three years ago.

"The market... believes that both the federal funds rate and the yield on the 10-year Treasury bond will increase," says one research note from

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here