People familiar with the situation told the Financial Times that banks and industry representatives had been in talks with the Fed to extend the exemption beyond March. One said a reprieve looked likely, while others said there was little clarity.
The arguments have centred on the fact that many of the unusual conditions that originally prompted the easing are still in place, including the Fed’s massive intervention in the Treasury market. Some bankers have also warned of potentially grave consequences for the market.
The full article is available at https://www.ft.com/content/91f43572-414c-48d1-af80-857b9fa2fb18