Treasury Secretary Janet Yellen on Tuesday will vow more U.S. support for the banking system if needed but tell an industry group that “the situation is stabilizing” after recent moves by the government.
Discussing Silicon Valley Bank and Signature Bank, Yellen will say that U.S. intervention was needed to protect the broader U.S. banking system. The treasury chief says in prepared remarks that “similar actions could be warranted if smaller institutions suffer deposit runs that pose the risk of contagion.”
“Let me be clear,” Yellen will tell a meeting of the American Bankers Association, “the government’s recent actions have demonstrated our resolute commitment to take the necessary steps to ensure that depositors’ savings and the banking system remain safe.”
Yellen is due to address the group at 10 a.m. Eastern. U.S. stock futures
YM00,
are pointing higher Tuesday amid reports that JPMorgan Chase & Co.
JPM,
is working to help bolster troubled First Republic Bank
FRC,
