Yellen and Powell agree that some assets are highly valued, but have not yet been a cause for surveillance



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Original title: Yellen and Powell agreed that some assets are highly valued, but they have not yet been a reason to be vigilant

United States Secretary of the Treasury Yellen andInlandPresident Powell agreed Tuesday thatmarketThe high valuation of some of the assets mentioned does not constitute a reason to be vigilant.Two people in the Casa de las FinanzasServiceCommitteeHe said that as the US economy recovers from the epidemic, they are confident in the stability of the financial industry.

When asked by Connecticut Representative Jim Himes when the trillions of dollars in fiscal stimulus decreased,InlandChu began to slow down his relaxation.badgeWhen it comes to policy, are you worried about the market turmoil? Yellen said: “Although asset valuations have risen according to historical indicators, people believe that with the rapid progress of vaccination, the economy will be able to return. get back on track.priceIn a high-end environment, it is important for regulators to ensure that the financial industry is flexible, to ensure that the market is performing well, and that financial institutions manage risks appropriately. “

Yellen, 74, spoke in detail about the $ 1.9 trillion rescue plan launched by the Biden administration and the government’s efforts to continue implementing stimulus measures in the coming months. Yellen was a staunch supporter of the Biden project. law, said that withemployeeThey are trying to get back in after the 2020 recession.workThis legislation quickly deployed funds to millions of Americans struggling to pay rent, buy food, and cover other living expenses.

Although he avoided discussing the details of the Biden administration’s fiscal plan, Yellen admitted that he hopes the White House will eventually come up with revenue-generating methods to pay for the bailout plan, including the upcoming infrastructure plan.

According to data from the Committee for a Responsible Federal Budget, a financial monitoring organization, federal lawmakers haveAuthorization$ 6 billionTax cuts, Loans, grants and subsidies to deal with the crisis.

Himes said the current liquidity of fiscal and monetary policies appears to have triggered a rebound in asset prices in the market. He said, “Everyone and their brothers have a SPAC.”investmentIt seems that people can easily come together through special-purpose acquisitions.the companyList of private companies.

  InlandPresident Powell admitted that some assets in the market are highly valued, but they are the largest in the United States.BankThere is still plenty of cash and it looks healthy in other ways. “We continue to study financial stability carefully. We have a framework with four pillars. You can say that the prices of some assets areBankThe system is healthy. “

  financial worldThere is growing concern that the Fed will soon begin to signal that it will slow down or “shrink” the US.National debtwithmortgageLoans support the purchase of securities The Fed buys monthlyLinkThe total value is up to billions of dollars. According to data from the central bank’s website, the bank’s balance sheet has risen to nearly $ 7.7 trillion.

Like the US economy.jobdatato get betterGDPExpected substantial growth and inflationary inflation forecasts have shown signs of recovery. Investors believe it will be crucial if the Fed can continue to buy assets and only gradually make changes to the plan.

Powell reiterated once more: “As far as the future is concerned, we have already said that when we seeFull employmentAnd the inflation rate is approaching the Fed’s 2% target, we’ll start to shrinkCapital reductionWhen this happens, we will contact the market in advance.communication。 “

(Source: Zhitong Finance Network)

(Editor-in-charge: DF546)

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