Treasury Secretary Janet Yellen introduced a three-pronged agenda on March 31 to address “ongoing threats to the nation’s financial system.”
The threats include disruptions that occurred early in the COVID-19 pandemic and more recent developments in regard to hedge funds.
Yellen said the market disruptions that occurred at the beginning of the COVID-19 pandemic in 2020 could have been worse. She made this statement while presiding over the Financial Stability Oversight Council (FSOC).
“If not for the swift action of the Federal Reserve, Treasury, Congress and others, those stresses may have led to an even greater economic contraction,” she said. “Indeed, we are digging out of a deep hole now, but we should be mindful that the hole could easily have been deeper.”
The meltdown o…