Free Trial

MNI PODCAST: FedSpeak - Stability Risks Loom as Fed Hikes

  • Leverage that has migrated to non-bank finance since the financial crisis poses the biggest risks to financial stability, said Richard Berner, the former head of the Treasury's Office of Financial Research.
  • Financial stability risks could yet challenge the Fed's resolve to tighten monetary policy enough to bring down inflation, said Berner, now at NYU Stern.
  • "The Fed may have to do more and certainly may have to do more than what is priced into markets. If that comes as a surprise, people’s positioning and vulnerabilities in the financial system could be exposed in a way that we’re not too happy about," he said.
MNI Washington Bureau | +1 202 371 2121 | pedro.dacosta@marketnews.com
MNI Washington Bureau | +1 202 371 2121 | pedro.dacosta@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.