Yellen Won’t “Pre-commit” to Using Dodd-Frank to Address “Too Big to Fail” By October Deadline
Fed Chair Janet Yellen said she would not yet decide whether to employ regulatory tools to reduce the size and and risk of “too big to fail” banks, ahead of an Oct. 1 statutory deadline. Yellen noted Tuesday that the banks would almost certainly require federal assistance, if there were to be sudden tremors in financial markets. She would not, however, comment on how the Fed intends to move forward, if those firms don’t submit adequate resolution plans this fall. Those outlines, known as “living…