UK watchdog sees no major failure over Libor
LONDON, March 5
LONDON, March 5 (Reuters) - Britain's financial watchdog said it should have performed better in how it responded to banks rigging Libor benchmark interest rates but saw no major regulatory failure.
The FSA published an internal report on Tuesday into when it first knew about manipulation of the London Interbank Offered Rate (Libor), used to price trillions of dollars of products from credit cards to home loans.
FSA Chairman Adair Turner said as the watchdog had no direct oversight of Libor, it "did not respond rapidly to clues that lowballing might be occuring".
"The report also reveals that while some information was available relating to lowballing, there is, for the period covered, no evidence of any information, direct or indirect, available to the FSA which indicated that traders were manipulating LIBOR for profit," Turner said.