Federal Reserve Bank Services — 1998-04-13 [98-9665]

The Board has decided to not implement an earlier opening time for the Fedwire securities transfer service at this time due to the anticipated cost and technical hurdles identified by various industry participants and concerns expressed by the Treasury. These concerns may decline in the future as participants improve their internal operating environments (e.g., by implementing real-time and straight-through processing and better contingency availability) and gain experience with expanded Fedwire funds transfer operating hours. The Board will monitor developments associated with expanded Fedwire funds transfer hours as well as developments in U.S. government securities settlement practices and, if market demand for transferring government securities earlier in the day increases or the related cost or operational burden declines materially, the Board, in consultation with the Treasury, will reconsider the desirability of opening the Fedwire securities transfer service earlier in the day.