Fed's Stern: Vital for Fannie, Freddie to keep operating

WASHINGTON (Reuters) - Minneapolis Federal Reserve President Gary Stern said on Wednesday it was important for struggling U.S. mortgage finance giants Fannie Mae and Freddie Mac to keep operating.

Recent steps by the government to offer them support were "appropriate," Stern told Bloomberg TV.

The broader issue of whether a financial firm is too big to fail can be addressed when market conditions turn calmer, Stern said.

Stern is a voting member of the Fed's rate-setting committee this year.

(Reporting by Glenn Somerville and Richard Leong, Editing by Chizu Nomiyama)