Jerome H. Powell, the Fed chair, acknowledged during a “60 Minutes” interview that aired on Sunday that “there will be losses.” For big banks, Mr. Powell said, the risk is manageable. When it comes to regional banks, he said that the Fed was working with them to deal with expected fallout, and that some would need to close or merge.

I think they’re acutely aware how unpalatable a bailout would be to the public, and they also know the problem exists and are able to plan ahead, so I don’t think we’re going to be seeing a big bailout here