Yellen Says U.S. to Determine If Stock Mania Warrants Action By Bloomberg

(Bloomberg) — Treasury Secretary Janet Yellen called for a deeper understanding of what is happening with the recent stock-market frenzy as she and other U.S. regulators meet later Thursday to discuss whether any action is warranted.

“We need to understand deeply what happened before we go to action, but certainly we’re looking carefully at these events,” Yellen said on ABC television’s “Good Morning America” Thursday morning. “We really need to make sure that our financial markets are functioning properly, efficiently and that investors are protected.”

Read more: Yellen’s Step Into Market Mania Tests Consumer-Protection Stance

In her first news-media interview since taking the Treasury’s helm last month, Yellen also spoke to the need for Congress to swiftly adopt measures to reduce suffering and protect the economy from the impact of the Covid-19 pandemic. She also reiterated the case for a large-scale bill.

“Seeing long lines of people waiting to get food around the country is something we should never see in the United States,” she said. “We need to act forcefully to make sure Americans don’t suffer needlessly.”

She also said President Joe Biden would still like to see Covid-relief measures passed on a bipartisan basis. “I think everybody knows what America needs now,” she said.

Biden has made a $1.9 trillion proposal to speed vaccine distribution and offer additional aid to households and businesses. Republicans have argued the price tag is far too high and the package is filled with long-sought Democratic measures, like raising the minimum wage. Some more moderate Democrats have also balked at the cost.

“We need to act big,” Yellen said. Many Americans “really need help to make it to the other side,” she said.

(Updates with additional Yellen comments starting in third paragraph.)

©2021 Bloomberg L.P.