FOMC Chairman Powell testimony: Baseline outlook for US economy remains favourable
|In remarks prepared for delivery to the Joint Economic Committee of Congress on Wednesday, Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, will reiterate that the baseline outlook for the US economy remains favourable and say that the monetary policy is likely to remain appropriate as long as incoming data broadly remains consistent with the Fed's economic outlook.
These remarks don't seem to be having a noticeable impact on the greenback's valuation with the US Dollar Index clinging to modest daily gains above the 98.30 mark. Below are some additional takeaways, per Reuters.
"If developments cause a material reassessment in the Fed's outlook, the central bank will respond accordingly."
"The Fed sees a sustained expansion of economic activity, strong labour market and inflation near symmetric 2% goal as most likely."
"Noteworthy risks to the US economic outlook remain."
"Sluggish economic growth abroad, trade developments pose ongoing risks."
"Persistent below-target inflation could lead to slide in longer-term inflation expectations."
"Level of vulnerabilities in the financial system at a moderate level."
"Investor appetite for risk elevated in some asset classes."
"Core of the financial sector appears resilient."
"Sustained expansion likely for the US economy."
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.