NEW YORK (March 30): Federal Reserve ​chair Jerome Powell said on Monday the US ‌central bank is watching developments in the private credit sector for signs of trouble, but does not currently see issues there bringing ​down the financial system as a whole. "I'm reluctant ​to say anything that suggests that we're ⁠dismissive of the risk," Powell said during an event ​at Harvard University. "We're looking for connections to the ​banking system and things that might, you know, result in contagion. As for some of the issues now ​faced by the opaque banking sector, "there'll be people losing money ‌and ⁠things like that, but it doesn't, it doesn't seem to have the makings of a broader systemic event," Powell said. He noted that when ​it comes to ​private ⁠credit, "it's a relatively small part of a very large asset pool, we're ​watching it super carefully," and that ​regulators are ⁠on the issue.

Source: The Edge Markets March 31, 2026 10:12 UTC