2023-03-07 19:32:18 ET
Summary
- Jerome Powell, Chairman of the Board of Governors of the Federal Reserve, spoke in front of the U.S. Congress today - and the stock market tumbled.
- Mr. Powell's latest message: the economy has, so far, come in stronger than expected and, therefore, the Fed, to do its job, must tighten up more and remain tighter longer.
- The excuse given for this outcome? Monetary policy works with a long lag. So, the investment community is advised to wait.
- And so, we wait as Mr. Powell continues to emphasize that he is going to keep the inflation battle going.
For further details see:
Monetary Policy In Front Of The U.S. Congress