Express
Federal Reserve Meeting Minutes Show US Financial System Still Significantly Fragile
Summary: According to sources, the Federal Reserve released the minutes of its July meeting, indicating that the stability of the US financial system is still described as "significantly" fragile. Staff assessments show that asset valuation pressures are high, stock market price-earnings ratios are at historical highs, and high-yield corporate bond spreads have significantly narrowed. Although household ...
According to sources, the Federal Reserve released the minutes of its July meeting, indicating that the stability of the US financial system is still described as "significantly" fragile. Staff assessments show that asset valuation pressures are high, stock market price-earnings ratios are at historical highs, and high-yield corporate bond spreads have significantly narrowed. Although household debt-to-GDP ratios are at their lowest levels in the past 20 years and household balance sheets are robust, private business debt is growing rapidly, with interest coverage ratios falling to historic lows, indicating increased vulnerability in this area.
Tags:
Link: Federal Reserve Meeting Minutes Show US Financial System Still Significantly Fragile [Copy]
