Fed Chair Powell: Sees further gradual rate hikes, outlook remains strong

Here are some of the key highlights from the text of the Fed Chair Jerome Powell's testimony on the semiannual monetary policy report before the House Financial Services Committee.

   •  Some headwinds facing the US economy are now tailwinds
   •  Financial conditions accommodative despite volatility
   •  Must strike balance to avoid overheat and to lift inflation
   •  FOMC sees risks roughly balanced, monitoring inflation
   •  Wages should increase at a faster pace
   •  US economic outlook strong, inflation to rise to 2%
   •  FOMC consults policy rules and he finds them helpful
   •  Fiscal policy more stimulative, foreign demand firmer
   •  Robust job market to support income and spending
   •  Recent wage increases likely have been dampened by weak productivity growth. Last year's business investments should begin to lift productivity