UK supervisor FCA 'monitoring' Archegos capital situation

LONDON (Reuters) - Britain's financial regulator the FCA said on Monday it was monitoring the situation with Archegos Capital after reports the U.S. hedge had defaulted on margin calls.

"We and other supervisory authorities are aware of the situation, which we continue to monitor”, an FCA spokeswoman said.

Bank of England policymaker Alex Brazier told a Reuters Newsmaker event "we are monitoring that very closely and the supervisors of the relevant firms are closely engaged."

Nomura, Japan's largest investment bank, warned on Monday it faced a possible $2 billion loss due to transactions with a U.S. client while Credit Suisse said a default on margin calls by a U.S.-based fund could be "highly significant and material" to its first-quarter results.

(Reporting by Huw Jones, writing by Marc Jones, editing by Karin Strohecker)