SCHQ - Powell's Testimony Challenges Both The Fed And Congress
In last week's testimony before the Joint Economic Committee of Congress, Federal Reserve Chairman Jerome Powell applauded the U.S. economy's continued strength. He also suggested that, after easing monetary policy three times this year, the Fed will hold interest rates at their present levels so long as the favorable outlook remains intact.
While the recent data that Chairman Powell reviewed confirm that recent rate cuts represent an appropriate policy response to surprises that have unfolded since the beginning of the year, the details of his testimony point to additional challenges that will confront the Fed