US Senator Warren: Fed will tip US economy into recession
|Democratic US Senator Elizabeth Warren expressed her concerns on Sunday about a potential recession in the US economy, courtesy of the hawkish stance of Fed Chair Jerome Powell.
Key quotes
"Do you know what's worse than high prices and a strong economy? It's high prices and millions of people out of work. I am very worried that the Fed is going to tip this economy into recession.”
"What he calls 'some pain' means putting people out of work, shutting down small business because the cost of money goes up because the interest rates go up.”
"There is nothing in raising the interest rates, nothing in Jerome Powell's tool bag, that deals directly with those and he has admitted as much in congressional hearings.”
Market reaction
The US dollar rampage extends in early European trading, as risk-aversion and the bond market sell-off deepen on hawkish rhetoric by major global central bankers. The US dollar index is now trading at a fresh two-decade high of 109.48, gaining 0.60% on the day.
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.