ICYMI – Fed's FSR cites concerns on persistent inflation, and commercial real estate

<p>The Federal Reserve released its October 2023 Financial Stability Report on Friday at 1600 US ET. I can't say I endorse that timing. </p><p>Main points of concern from the report:</p><ul><li>chance for persistent inflation to keep interest rates higher</li><li>potential losses in the commercial real estate market</li></ul><p> Three-quarters of survey respondents cited those two issues as prominent near-term risks. </p><p>Also noted:</p><ul><li>bank stability concerns (three large firms failed earlier in the year)</li><li>economic weakness in Chin</li><li>the war between Russia and Ukraine slipped to the 11th-most cited concern by respondents (the Fed noted that its survey of looming risks was closed in early October, before the Hamas terrorist attacks in Israel)</li></ul><p>The Financial Stability Report is issued semi-annually. Its main purpose is to assess potential risks and vulnerabilities in the financial system, as well as to communicate the Fed's efforts to promote financial stability.
</p><p>Full text is here:</p><ul><li><a href="https://www.federalreserve.gov/publications/financial-stability-report.htm">Financial Stability Report</a></li></ul>

This article was written by Eamonn Sheridan at www.forexlive.com.