Yellen Says U.S. Banks Still Have Big Risk-Management Challenges

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Bloomberg

Large U.S. banks have major risk-management flaws that could potentially hurt the broader financial system if not addressed, Federal Reserve Chair Janet Yellen said Wednesday in remarks prepared for a House Financial Services Committee hearing.

Yellen’s comments focused on actions the Fed has taken since the 2008 credit crisis to stabilize banks and the financial system. Lawmakers on the Republican-controlled panel are likely to grill Yellen on what they view as the Fed’s intrusive role in the economy.

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