Three observations from Powell's second day of hearings on Capitol Hill:
1/ Powell voiced continued murmurs of concern on inflation expectations drifting up.
βThere are some small signs, concerning signsβ that inflation expectations are rising. wsj.com
1/ Powell voiced continued murmurs of concern on inflation expectations drifting up.
βThere are some small signs, concerning signsβ that inflation expectations are rising. wsj.com
2/ There was an interesting exchange between Rep. Trey Hollingsworth (R., Ind.) who tried to probe how the Fed chair would react to a situation where inflation stayed high but unemployment starts rising.
It's hard to paraphrase because of the cross talk, so here's a transcript
It's hard to paraphrase because of the cross talk, so here's a transcript
3/ The hearing also revealed the difficult politics of high inflation.
Democrats warned against overdoing it and pressed Powell to endorse other methods. Republicans tried to get Powell to identify supply-side remedies. He mostly demurred.
Democrats warned against overdoing it and pressed Powell to endorse other methods. Republicans tried to get Powell to identify supply-side remedies. He mostly demurred.
Loading suggestions...