Powell Says Fed Alert to Any Developing Financial Risks


The US Federal Reserve "will remain alert to any developing risks to financial stability", new Chairman Jerome Powell vowed Tuesday amid a rise in volatility in recent weeks on US stock markets. "We are in the process of gradually normalizing both interest rate policy and our balance sheet with a view to extending the recovery and sustaining the pursuit of our objectives".

"If economic conditions evolve as expected, we'll need to make some further increases in interest rates this year and next year, at a pace similar to last year's" when the Fed raised rates three times, she said in a speech in Dayton, Ohio. "In addition, the financial system is incomparably stronger and safer, with much higher capital and liquidity, better risk management, and other improvements".

Former White House strategist Steve Bannon wanted former Fed Chair Janet Yellen to stay on for another term.

PPK demostró firmeza y liderazgo en el indulto a — Luis Almagro
El secretario general de la OEA también mantuvo sendos encuentros durante su estancia en Lima con el presidente del Poder Judicial, Duberlí Rodríguez, y el presidente del Tribunal Constitucional, Ernesto Blume.

The Powell comments weren't on the schedule but they were from prepared remarks in his swearing-in ceremony, which is today.

"I think markets will remain shaky until (Federal Reserve Chairman Jerome) Powell´s congressional testimony on February 28".

Nominated by President Donald Trump in November and confirmed by the Senate last month with broad bipartisan support, Powell stressed the Fed would "preserve the essential gains in financial regulation while seeking to ensure that our policies are as efficient as possible".