The Federal Reserve System is the central bank of the United States, with five key functions: conducting monetary policy, promoting financial system stability, supervising financial institutions, fostering payment and settlement system safety and efficiency, and promoting consumer protection and community development. The Financial Stability Report provides an overview of asset valuations, borrowing by businesses and households, leverage in the financial sector, funding risks, and near-term risks to the financial system. It also includes updates on the LIBOR transition and the impact of Russia's invasion of Ukraine on commodity markets. The report highlights stresses in China's real estate sector and surveys salient risks to the financial system.
