Fed: Risks to US financial system ease as economy recovers

By KEN SWEET
AP Business Writer

NEW YORK (AP) — The Federal Reserve says that the risks to the U.S. financial system have eased significantly compared to a year earlier. The central bank noted Monday that as the economy recovers from the pandemic-driven recession, the balance sheets of individual Americans and businesses continue to strengthen. However, the Fed did point out the significant rise in asset prices _ most notably home and stock prices _ as well as the rise of volatile trading of so-called “meme” stocks as potential growing risks.