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On the radar: St. Louis Fed’s Financial Stress Index points to steadily improving conditions

The St. Louis Fed Financial Stress Index was down for a second week and declined 0.252 points to 0.612 as of Friday, May 8. The index was the lowest since 0.549 in the February 28 week. Signs of financial market stress have generally been on the decline since a peak of 5.374 on March 20. Conditions have not yet fallen to the neutral mark, but have improved significantly with aggressive actions on the part of the Fed and other central banks to reduce strains and volatility.

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