U.S. central bankers find themselves in the most difficult of positions. They need to begin accommodating what will be a multiyear period of large annual operating deficits without appearing to subordinate monetary policy to the needs of the U.S. Treasury. That issue will be on display in multiple ... READ MORE >
Jerome Powell
The Fed cut its policy rate by a half percentage point. Expect more to come.
The Federal Reserve on Tuesday reduced its policy rate to a range between 1.0% and 1.25% as the central bank implemented a preemptive cut to bolster financial conditions as the coronavirus continues to spread. The use of monetary firepower is a clear signal to policymakers and investors that there will be ... READ MORE >
Powell’s statement is a necessary first step in addressing the coronavirus fallout
Federal Reserve Chairman Jerome Powell made a well-directed and much-needed statement on Friday, maintaining the possibility of a cut by the central bank in interest rates, in an attempt to take back control of the narrative on the Fed's response to the coronavirus outbreak. Powell's remarks, ... READ MORE >