As the coronavirus continues to negatively impact the financial markets, the planned 2021 transition away from Libor may need to be extended, according to officials in charge. “The coronavirus has superseded all other things. No one cares about Brexit, no one cares about Libor transition. The only thing right now is mitigating and managing the risk on your books,” says a senior rates trader at a European house. As banks shift their resources to contingency planning, there may need to be an adjustment in timeline.
Read more via Risk.net.