Fed's Cook: US financial system is resilient
Federal Reserve (Fed) governor Lisa Cook said in remarks prepared for delivery at an event hosted by Georgetown University's business school on Thursday. She said that the US financial system is resilient and that she sees an increased likelihood of outsized asset price declines.
Key takeaways
US financial system is resilient.
Sees increased likelihood of outsized asset price declines, though it is not a risk to financial system.
Doesn't see private credit posing current threat to Financial stability, but it's worth keeping a close eye on it.
Hedge fund trading strategies in Treasuries pose a potential risk to market liquidity.
Generative artificial intelligence use in trading raises concerns, could have benefits, and must be watched carefully.”
Source : Fxstreet.com
