Treasury Secretary Janet Yellen on Thursday testified before the House that the government is ready to step in with more help for bank depositors if necessary
"We have used important tools to act quickly to prevent contagion," she said. "And they are tools we could use again. The strong actions we have taken ensure that Americans’ deposits are safe. Certainly, we would be prepared to take additional actions if warranted."
The secretary also stressed that the cost of these interventions is not being borne by taxpayers but rather from the Deposit Insurance Fund, which is funded by bank fees.
The government is willing to support uninsured depositors as well, according to testimony from Yellen last week. She said those deposits would also be covered in the event that a “failure to protect uninsured depositors would create systemic risk and significant economic and financial consequences."
Yellen's public comments come as the banking sector continues to fuel uncertainty across the economy.
NYC's mayoral race heats up with a socialist candidate aiming to make the city affordable—and rattling the financial sector. Plus: Coinbase's prospects.
A stark disagreement over regulating AI in Republicans’ tax cut and spending bill is the latest tension among conservatives about whether to let states continue to put guardrails on emerging technologies or minimize such interference.
Mark Hamrick of Bankrate discusses the jobs market, AI's growing impact on employment, and how markets are reacting to today’s surprising payroll data.
Amanda Chu of POLITICO reveals how lawmakers are betting millions on pharma stocks even as Trump threatens tariffs and demands steep drug price cuts. Watch!
Hayley Berg, Hopper’s lead economist, previews soaring summer 2025 travel: record international flights, cheaper fares for Europe & Asia, plus booking hacks.
