WASHINGTON: Federal Reserve Chair Jerome Powell is likely to sound fairly upbeat about the outlook for US economic growth when he testifies this week in the first of his twice-a-year updates to Congress, even as he nods to the potential threat from the coronavirus in China.
That assessment would echo the formal report the Fed submitted to the US Congress on Friday, which repeated the central bank’s view that its current target range for short-term borrowing costs, between 1.5 per cent and 1.75 per cent, is “appropriate” to keep the expansion on track.
Not just the message will be familiar; Powell will also be addressing a familiar crowd. His calendars show he has talked privately with most of the lawmakers set to publicly grill him this week.
Indeed, Powell has made lawmaker outreach a signature feature of his tenure. In just two years on the job, he has spent about 96 hours in private meetings, phone calls, group meals or study sessions with senators and members of the House of Representatives. That compares with 77 hours for his predecessor, Janet Yellen, over her four years as Fed chair. — Reuters
Oman Observer is now on the WhatsApp channel. Click here
