Banks must boost capital, not leverage: Fed official

Fed officials say they may need a better strategy going forward to give them more power to address future recessions

Now that the Federal Reserve has reached its employment and inflation goals, the time is right for the U.S. central bank to take a broad look at its policy approach and its balance sheet, Kansas City Fed President Esther George said on Friday.
 
But it is not the time to go easier on big banks, she said at the Hoover Institution’s annual central banking conference, in what appeared to be pushback against comments made by Fed Governor Randal Quarles earlier in the day at the conference.
 
Quarles and Fed Chair Jerome Powell voted last month to recalibrate a