BOSTON (Reuters) - The United States is a long way from putting
in place rules that will protect the financial system and economy from
broad risks, due in part to regulatory structure and to the difficulties
of predicting the next crisis, a top Federal Reserve official said on
Saturday.
New York Fed President William Dudley, an influential
Wall Street supervisor speaking at a conference in Boston, warned
against hastily putting in place so-called macroprudential tools, which
would go beyond regulating specific banks and firms and focus on the
broader financial sector.
"While the use of
macroprudential tools holds promise, we are a long way from being able
to successfully use such tools in the United States," he said in
prepared remarks.
