Congress is finalizing a $70 billion bill to fund the Department of Homeland Security, but a more ambitious 'Reconciliation 3.0' package containing defense funding and tax changes is unlikely to pass. Political fractures and the difficulty of the recent bill suggest larger legislative achievements are improbable before the midterms.
The Federal Reserve is signaling a move towards regulatory relief for regional banks. Vice Chair Bowman highlighted plans to tailor asset thresholds to nominal GDP and finalize stress testing transparency rules, which could provide significant operational flexibility for banks approaching current caps.
The authority for FISA Section 702, a key surveillance tool, is set to expire on June 12th. Reauthorization is in jeopardy due to President Trump's rhetoric about the intelligence community, which has caused Democrats to withdraw support, creating a high-stakes legislative standoff.
The OCC's proposal to implement the Genius Act has created conflict over stablecoin reward programs, pitting crypto firms like Coinbase against traditional banks. The regulator appears to be hoping that broader legislation, like the Clarity Act, will resolve the ambiguity, indicating continued uncertainty in the space.
The U.S. Trade Representative has proposed new tariffs on dozens of countries, including a significant 37.5% tariff on Brazil, for unfair labor practices. A final decision on these tariffs is required by a July 24th deadline, signaling a potential escalation in trade friction.
Keep pulling the thread on Nathan Dean.