Fed Chair Powell: Ready to use QE, guidance “aggressively” in a downturn, USD stable
Jerome Powell, Chairman of the Federal Reserve, has said that the bank is ready to use Quantitative Easing (QE) and also forward guidance "aggressively" in a downturn. Powell is testifying before the Senate's Banking Committee in Washington.
The US dollar has been edging higher alonside higher bond yields.
He added that the US spending on healthcare is excessive and that he would be concerned about the level of US debt – that needs to grow at a slower pace than the economy.
Housing affordability is also an issue despite it doing better. On trade, the central banker has said that lower uncertainty may mean some upside for investment.