The U.S. financial system is "safer and sounder" than it was before 2008, although another crisis can't be ruled out, Federal Reserve Chairwoman Janet Yellen said Tuesday.
Speaking at the British Academy, Ms. Yellen said the Fed is spending more time on detecting threats to financial stability, including in places that aren't subject to regulation.
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"We have been very focused on making sure the core of our financial system has enough capital that we can provide the assurance that our major banks could go on lending to our economy even after a major shock, " she said. "The system is much safer and sounder."
Ms. Yellen also cited improvements to the "architecture" of the system, including central clearing for an increased range of derivatives contracts.
But she said another crisis can't be excluded, although she hoped "it will not be in our lifetime."
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(END) Dow Jones Newswires
June 27, 2017 14:08 ET (18:08 GMT)