In a recent development, the Federal Reserve Board has imposed a hefty fine of $60.6 million on Citigroup for failing to comply with a 2020 enforcement action. The press release stated that Citigroup has not made sufficient progress in addressing its data quality management issues and has not implemented necessary controls to manage ongoing risks.
This fine, combined with penalties from the Office of the Comptroller of the Currency, brings the total amount to around $135.6 million for the bank. The Board continues to monitor Citigroup’s actions to ensure compliance with the 2020 enforcement action.
Meanwhile, the market is eagerly awaiting the release of the Consumer Price Index (CPI) report, which is expected to show a decrease in inflation closer to 3%. Economists predict a 0.1% increase month over month and a 3.1% increase year over year. Federal Reserve Chair Jerome Powell has indicated that the Fed may not wait for inflation to reach 2% before considering rate cuts, especially with signs of a cooling labor market.
In other news, the S&P 500 has seen seven consecutive days of gains in July, marking the first time since September 2013. The index is up 3.2% to start the month. Additionally, stock futures opened little changed on Wednesday night, with Dow futures slipping around 0.1% and S&P 500 and Nasdaq 100 futures remaining flat.
Stay tuned for more updates on these developing stories.
