Yellen in Stock market warning
By Adam Pike, News Editor
07 May 2015
Head of the U.S. Federal Reserve, Janet Yellen has warned global stock markets are at risk.
Yellen told the audience at the International Monetary Fund that current stock market valuations are high and represent potential dangers.
Despite bonds and stocks trading at all-time highs Yellen added she cannot see any asset bubbles forming.
Earlier this year the FTSE 100, Dow Jones and German Dax have all recorded new highs. Many argue the bond market is even more extreme with 70% of all German Bunds, 50% of all French and incredibly 17% of all Spanish debt trading with a negative yield.
Despite the financial industry nearly collapsing in 2008 Yellen praised the banking system for their contribution to the economy and society.