Economics
Powell Maintains Fed Pledge to Act to Sustain U.S. Expansion
- Fed chair speaks at Paris event to commemorate Bretton Woods
- His language similar to testimony before Congress last week
This article is for subscribers only.
Federal Reserve Chairman Jerome Powell said the central bank is “carefully monitoring” downside risks to U.S. growth and “will act as appropriate to sustain the expansion,” reiterating concerns last week that cemented expectations for an interest-rate cut later this month.
“Uncertainties about this outlook have increased, however, particularly regarding trade developments and global growth,” Powell told a dinner audience at the Bank of France in Paris on Tuesday, referring to the Fed’s baseline scenario for growth to “remain solid.” Federal Open Market Committee participants “have also raised concerns about a more prolonged shortfall in inflation below our 2% target,” he said.