In the wake of Barclays £290
million ($453 million) fine for manipulating LIBOR rates, the British
government ordered a review of how LIBOR rates are determined.
Currently, Thomson Reuters determines the interest rate based on the
average of the interbank interest rate offered by contributor banks.
Barclays underreported the interest rate at which it could borrow,
thereby lowering the average interest rate for all banks. A proposed
method for the new calculation of LIBOR rates to use actual quotes to
calculate the interest rate. http://online.wsj.com/article/SB10001424052702304211804577500820816753362.html?KEYWORDS=Barclays
And in what may be the first of several resignations/firings due to the scandal, Barclays' Chairman Marcus Agius resigned. http://online.wsj.com/article/SB10001424052702303933404577501220607485322.html?KEYWORDS=Barclays
