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Fed’s Rosengren Says Recovery May Weaken, Criticizes Big Banks

  • Boston Fed chief worried over financial vulnerabilities
  • Says top banks avoiding Main Street facility despite the terms
Eric Rosengren

Eric Rosengren

Photographer: Andrew Harrer/Bloomberg

Federal Reserve Bank of Boston President Eric Rosengren offered a pessimistic view on the U.S. economy’s ability to bounce back quickly from the coronavirus, and blamed the country’s largest banks for the underperformance of a $600 billion emergency lending program.

Rosengren said he feared that a second wave of Covid-19 infections this fall and winter, along with the failure of Congress to provide more fiscal support and the impact of business failures on the financial sector, will slow the recovery.