Ed Kalecki

The Federal Reserve is asking major U.S.

banks for details about their exposure to private credit following a surge in redemptions from the funds and a rise in troubled loans in the industry.

The queries by Fed examiners are intended to assess the level of stress in the private credit industry and the potential for it to spill over to the wider financial system.

Among the queries the Fed has been incorporating into its routine oversight process...

The central bank has been seeking details on the debt private credit funds have taken on from banks.

In good times, that debt can juice returns and make private credit funds more enticing.

In bad times, it risks exposing banks to losses.

Wall Street's banks are starting to test Anthropic's mythos model.

Bloomberg's Dan Schwartzman has more.

U.S.

inflation surged in March, but the most in nearly four years as the war with Iran sent gasoline prices skyrocketing.

The consumer price index rose 0.9% from February, this according to data out Friday.

From a year ago, it was up 3.3%, the strongest pace since 2024.

A record increase in gas prices was responsible for nearly three quarters of the monthly advance.

Another measure that excludes food and energy costs increased at a slower-than-expected 0.2 percent pace.

Jared Bernstein, former chair of the Council of Economic Advisers in the Biden administration, joined Kayleigh Lyons on balance of power and talked about how the long economic ripple effects could last after the war.

Jarrett Bernstein, former chair of the Council of Economic Advisors on Balance of Power.

A federal judge Friday temporarily barred Arizona from enforcing its gambling laws against predictive market operators and put the brakes on a criminal wagering case that the state had filed against Kalshi.

U.S.

District Judge Michael Liberti's ruling means a Monday arraignment hearing for Kalshi has been called off.