by Brian Shilhavy, Health Impact News:

It appears that the Biden Administration is abandoning their rhetoric that “the banking system is fine.”

CNN reported today that Treasury Secretary Janet Yellen met with CEOs of large banks yesterday and told them that “more bank mergers may be necessary.”

New York (CNN) — During Thursday’s meeting with the CEOs of large banks, Treasury Secretary Janet Yellen told executives that more bank mergers may be necessary as the industry continues to navigate through a crisis, two people familiar with the matter told CNN.

The comments from Yellen provide further evidence that Biden officials are starting to warm up to the idea of bank mergers despite concerns from progressives and the administration’s own scrutiny of corporate concentration. (Source.)

Her statements killed a stock rally this week that saw the stocks of regional banks increase 10%, in one of their best weeks since 2020.