Breaking: FOMC Chairman Powell says additional policy measures may be needed
|Jerome Powell, Chairman of the Federal Reserve System, on Wednesday said the coronavirus crisis raises long term concerns.
"Additional policy measures may be needed to avoid lasting damage to the economy," Powell added while delivering his prepared remarks at an event organized by the Peterson Institue for International Economics.
Market reaction
The US Dollar Index edged lower on Powell's remarks and was last seen down 0.38% on the day at 99.63.
Key takeaways
"Recovery may take time to gather momentum."
"Coronavirus shock appears to be the largest on record."
"Fed survey shows 40% of households with less than $40,000 income have lost a job."
"US fiscal response has been the fastest, largest for any postwar downturn."
"Fed has also acted with unprecedented speed, force."
"Policy response has provided a measure of relief, stability."
"Fed will continue to use tools to their fullest until the crisis has passed, recovery well underway."
"Fed loans will help many borrowers get through the crisis, but time can turn liquidity problems into solvency problems."
"Additional fiscal support could be costly, but worth it if it helps avoid long-term economic damage."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.