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Powell speech: Fed is not thinking about raising rates

"It is important that pandemic unemployment benefits are continued in some form after they are due to expire,"  Jerome Powell, Chairman of the Federal Reserve System, said while testifying before House Financial Services Committee on Wednesday.

Additional takeaways

"US needs to find a way to provide continued fiscal support to those people in hard-hit industries."

"US economy is in the early stages of a bounce-back."

"If the virus remains under control, there should be more positive economic data."

"Third phase of recovery is that workers in hardest-hit industries will continue to struggle."

"It does seem very likely that there will be more teleworking in the future."

"Pandemic is accelerating pre-existing trends in the economy, such as teleworking and online shopping."

"Fed plans to keep its foot on the gas until it is sure the US is on road to recovery."

"The Fed is not thinking about raising rates, that economy will need support for an extended period of time."

"Continuing to look at the expansion of credit-rating facilities for its programs."

Market reaction

The US Dollar Index clings to small daily gains near 97.10 after these remarks.

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