Eurocurrency markets are subject to more stringent reserve requirements than those imposed on U.S. banks by the Federal Reserve.

Question

Quizplus · Accepted Answer

Eurocurrency markets are not subject to reserve requirements imposed by any central bank, including the Federal Reserve. However, banks participating in Eurocurrency markets may have to comply with reserve requirements imposed by their home country's regulatory authorities.

Eurocurrency Markets Are Subject to More Stringent Reserve Requirements Than