Kashkari: Bank Stress Brings U.S. Closer To Recession
(Minneapolis, MN) — A top Federal Reserve official says recent stress in the banking sector is bringing the U.S. closer to recession. Appearing on CBS’ Face the Nation, Minneapolis Federal Reserve President Neil Kashkari noted the trend, but said it’s unclear if that stress is leading to what he described as “a widespread credit crunch.” He explained that would slow down the economy. Still, Kashkari maintained the U.S. banking system remains fundamentally sound. His comments come after the collapse of the Silicon Valley Bank and New York-based Signature Bank.
