The Federal Reserve headquarters in Washington, DC. The woes of U.S. banks could mount as the economy slows down and with greater access to their confidential information, the Federal Reserve can make sound decisions, Boston Fed President Eric Rosengren said on Friday.
Rosengren is regarded as one of the most dovish members of the Fed, but is not a voting member of the central bank's Federal Open Market Committee this year.
"It is too soon to call whether or not we are in a recession. But regardless of what you call it, it is a period of very slow growth," he told reporters at the seminar.
On the troubles caused by the subprime loan crisis, he said: "We need to see some stabilisation in the housing market before I would be confident that the financial turmoil is over."
"While U.S. banks report detailed information on their balance sheets and their income statements, these reports do not provide sufficient information to allow central banks to really discern how banks are responding to problems," he said in a prepared text.
Rosengren is regarded as one of the most dovish members of the Fed, but is not a voting member of the central bank's Federal Open Market Committee this year.
"It is too soon to call whether or not we are in a recession. But regardless of what you call it, it is a period of very slow growth," he told reporters at the seminar.
On the troubles caused by the subprime loan crisis, he said: "We need to see some stabilisation in the housing market before I would be confident that the financial turmoil is over."
"While U.S. banks report detailed information on their balance sheets and their income statements, these reports do not provide sufficient information to allow central banks to really discern how banks are responding to problems," he said in a prepared text.
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