Breaking: Fed's Powell says economy a long way from goals, dollar edges lower

Jerome Powell, Chairman of the Federal Reserve, has said that the economy remains a long way from achieving its inflation and employment goals. His prepared remarks ahead of a testimony to Congress also acknowledge that the outlook has brightened. 

The US dollar is retreating from the highs and stocks are bouncing from the lows in the initial response. 

Powell also states that it will take time for "substantial further progress" to be achieved. In any case, he says the Fed will communicate changes to bond-buying "well in advance." 

Perhaps the most dovish statement is that he pledges not to tighten monetary policy solely in response to a strong jobs market. Another cautionary note is that growth has substantially slowed after the summer. 

FOMC Chairman Jerome Powell testimony before Senate Banking Committee – live stream

Here is how the move looks on EUR/USD, which is off the lows:

Earlier, the Conference Board's Consumer Confidence gauge for February came out at 91.3 against 90 expected. 

Follow all the Fed-related action here