Powell says Federal Reserve can wait on any interest rate moves

Secretary Yellen, what's your message tonight for Americans who are rattled by what they've experienced in in the last days and weeks and concerned about their retirement accounts and nervous about *** recession? Well, this is the worst self-inflicted policy wound I've ever seen in my career inflicted on our economy. The Trump tariff plans are doing immense damage to our economy. You can see that in the stock market and the impact these tariffs are expected to have on American households, and we're even beginning to see what looks like *** flight away from dollar-based assets in the financial markets, which is. Um, *** really scary development. How long, I mean, the, the, the damage to the reputation of the United States, to the confidence people have or had around the world toward the United States, I mean, reflected in the dollar and, and investments, how long does that something like that take to rebuild? Well, I think that could take *** long time to rebuild. Um, dollar assets have long been regarded as the safest in the world, especially US Treasury, uh, bonds and bills. Um, they form the core of the whole global financial system, and what we saw this week was *** sharp increase. One of the biggest increases on record over the space of *** week in long-term Treasury yields, almost 50 basis points and at the same time *** decline in the value of the dollar. This is really unusual pattern because in chaotic times usually Treasury yields fall. The Treasury bonds are *** safe. And people buy them. That's not what's happening now. They're selling treasuries and there's also downward pressure on the dollar. There's pending litigation of whether the president can fire heads of independent government agencies, and *** major question is, depending on how that litigation is resolved, is whether he might try to oust Federal Reserve Chairman Jerome Powell. You served as the Federal Reserve chair. What happens if that job becomes simply another political appointee who serves at the pleasure of the president. Well, it's well understood that countries that have independent central banks exhibit better economic performance and there's *** very good reason for that. It's that independent central banks are not driven by politics. And when those central banks are politically driven, they tend to do things that are destabilizing to economies. So this is *** development that would greatly concern me and I think it should concern all Americans. Secretary Yellen, thank you very much. My pleasure thanks Anderson.

The Federal Reserve can stay patient and wait to see how tariffs and other economic policies of the Trump administration play out before making any changes to interest rates, Chair Jerome Powell said Wednesday.Video above: CNN speaks with former Treasury Secretary Janet Yellen바카라 게임 웹사이트�As that great Chicagoan Ferris Bueller once noted, 바카라 게임 웹사이트�Life moves pretty fast,'" Powell said in a speech to the Economic Club of Chicago. "For the time being, we are well positioned to wait for greater clarity바카라 게임 웹사이트� on the impact of policy changes in areas such as immigration, taxation, regulation, and tariffs, Powell said.The sharp volatility in financial markets since President Donald Trump announced sweeping tariffs April 2, only to put most of them on hold a week later, has led to speculation about whether the Fed would soon cut its key interest rate or take other steps to calm investors. Yet the Fed is unlikely to intervene unless there is a breakdown in the market for Treasury securities or other malfunctions, economists say.In his prepared remarks, Powell reiterated that the Trump administration's tariffs are 바카라 게임 웹사이트�significantly larger than anticipated."바카라 게임 웹사이트�The same is likely to be true of the economic effects, which will include higher inflation and slower growth,바카라 게임 웹사이트� he said.Powell also repeated that the Fed could face threats to both of the mandates it's been given by Congress, maximum employment and stable prices, which he called a 바카라 게임 웹사이트�challenging scenario," because the Fed would essentially have to choose whether to keep interest rates high to fight inflation, or cut them to spur growth and hiring.Powell said the inflation will likely be temporary, but 바카라 게임 웹사이트�could also be more persistent,바카라 게임 웹사이트� echoing a concern expressed by a majority of the Fed's 19-member interest rate-setting committee in the minutes of their meeting last month.Yet some splits among the Fed's interest rate-setting committee have emerged. On Monday, Fed governor Christopher Waller said that he expects the impact of even a large increase in tariffs to be temporary, even if they are left in place for several years. At the same time, he also expects such large duties would weigh on the economy and even threaten a recession.Should the economy slow sharply, even if inflation remained elevated, Waller said he would support cutting interest rates 바카라 게임 웹사이트�sooner, and to a greater extent than I had previously thought."But other Fed officials, including Neel Kashkari, president of the Fed's Minneapolis branch, have said they are more focused on fighting the effects of higher tariffs on inflation, suggesting they are less likely to support rate cuts anytime soon.For now, most recent reports suggest the economy is in solid shape. Hiring has been solid and inflation cooled in March. Yet measures of consumer and business confidence have plunged, raising concerns among economists that spending and business investment could weaken.

WASHINGTON —

Video above: CNN speaks with former Treasury Secretary Janet Yellen

바카라 게임 웹사이트�As that great Chicagoan Ferris Bueller once noted, 바카라 게임 웹사이트�Life moves pretty fast,'" Powell said in a speech to the Economic Club of Chicago. "For the time being, we are well positioned to wait for greater clarity바카라 게임 웹사이트� on the impact of policy changes in areas such as immigration, taxation, regulation, and tariffs, Powell said.

The sharp volatility in financial markets since President Donald Trump announced sweeping tariffs April 2, only to put most of them on hold a week later, has led to speculation about whether the Fed would soon cut its key interest rate or take other steps to calm investors. Yet the Fed is unlikely to intervene unless there is a breakdown in the market for Treasury securities or other malfunctions, economists say.

In his prepared remarks, Powell reiterated that the Trump administration's tariffs are 바카라 게임 웹사이트�significantly larger than anticipated."

바카라 게임 웹사이트�The same is likely to be true of the economic effects, which will include higher inflation and slower growth,바카라 게임 웹사이트� he said.

Powell also repeated that the Fed could face threats to both of the mandates it's been given by Congress, maximum employment and stable prices, which he called a 바카라 게임 웹사이트�challenging scenario," because the Fed would essentially have to choose whether to keep interest rates high to fight inflation, or cut them to spur growth and hiring.

Powell said the inflation will likely be temporary, but 바카라 게임 웹사이트�could also be more persistent,바카라 게임 웹사이트� echoing a concern expressed by a majority of the Fed's 19-member interest rate-setting committee in the minutes of their meeting last month.

Yet some splits among the Fed's interest rate-setting committee have emerged. On Monday, Fed governor Christopher Waller that he expects the impact of even a large increase in tariffs to be temporary, even if they are left in place for several years. At the same time, he also expects such large duties would weigh on the economy and even threaten a recession.

Should the economy slow sharply, even if inflation remained elevated, Waller said he would support cutting interest rates 바카라 게임 웹사이트�sooner, and to a greater extent than I had previously thought."

But other Fed officials, including Neel Kashkari, president of the Fed's Minneapolis branch, have said they are more focused on fighting the effects of higher tariffs on inflation, suggesting they are less likely to support rate cuts anytime soon.

For now, most recent reports suggest the economy is in solid shape. Hiring has been solid and inflation cooled in March. Yet measures of consumer and business confidence have plunged, raising concerns among economists that spending and business investment could weaken.

Powell says Federal Reserve can wait on any interest rate moves

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