Which federal body is responsible for monitoring emerging consumer financial risks?

The Consumer Financial Protection Bureau (CFPB) is specifically tasked with monitoring and addressing emerging financial risks that could impact consumers. Established following the 2008 financial crisis, the CFPB aims to ensure that consumers are treated fairly and that they have access to financial products and services that are not misleading or harmful.

The CFPB conducts research, analyzes data, and monitors the financial marketplace to detect trends that may pose risks to consumers' financial health. This includes overseeing various financial institutions and practices to promote transparency and accountability in the provision of consumer financial products. Its focus is on protecting consumers from unfair, deceptive, or abusive practices in the financial sector.

The other options, while important in their respective functions, do not have a specific mandate focused on monitoring consumer financial risks. The Federal Reserve primarily deals with monetary policy and economic stability. The Department of Justice is involved in law enforcement and legal matters, including antitrust and civil rights. The Federal Trade Commission works on consumer protection and preventing anti-competitive business practices but does not specifically focus on emerging financial consumer risks in the same way that the CFPB does.