© Jack Gruber-USA TODAY
News: Treasury Secretary Janet Yellen and Federal Reserve Chairman Jerome Powell testify
WASHINGTON (AP) — Treasury Secretary Janet Yellen is trying project calm after recent regional bank failures in California and New York. Yellen says additional bank rescue arrangements “could be warranted” if any new failures at smaller institutions pose a risk to financial stability. Yellen makes the statement in remarks prepared for delivery to the American Bankers Association on Tuesday. The Treasury secretary says in her prepared remarks that overall the bank situation “is stabilizing” and the U.S. banking system “remains sound.” Yellen adds the government’s intervention has been necessary to “protect the broader banking system” and more rescue efforts could be necessary. Earlier this month, Silicon Valley Bank and Signature Bank failed.
