Fed's Powell: US debt path unsustainable - Breaking The News

Fed's Powell: US debt path unsustainable

10 July

1 min read

EPA-EFE/PETE MAROVICH

Federal Reserve Chairman Jerome Powell reaffirmed on Wednesday that the "path we're on" concerning the United States national debt is unsustainable.

Testifying before the House Financial Services Committee, Powell tried to clarify that he does not believe that "the level of the US debt is not self-unsustainable" but rather the direction it is going.

Commenting briefly on inflation, Powell spoke about "a big crisis" that the COVID-19 pandemic caused, which led to the Fed restricting its monetary policy. He added that the institution will deal with the assessment of what has been done so far and how that reflects on the neutral rate in its annual review at the end of the year.

inflation trade balance fed interest rate powell coronavirus debt crisis

Fed's Musalem: Labor market at or close to full employment

an hour ago

Federal Reserve Bank of St. Louis President Alberto Musalem revealed on Wednesday that the labor market is currently "at or close to full employment."Musalem noted the heightened risk of inflation remaining above the Fed’s 2% goal due to tariff changes and other factors, stressing the need for inflation expectations to stay stable. He reassured the public that he does not see recession on the horizon but continued to warn that secondary effects...

SNB: Economic outlook more uncertain

4 hours ago

The Swiss National Bank (SNB) warned in its quarterly bulletin published on Wednesday that the economic outlook for Switzerland and the rest of the world has become "considerably more uncertain" amid the ongoing geopolitical crises around the globe and the tariffs on foreign goods that United States President Donald Trump has either already introduced or is planning to impose.The SNB described those as "the main risk" to Switzerland's gross domestic...

Fed's Kashkari: No use case for cryptocurrency

4 hours ago

Federal Reserve Bank of Minneapolis President Neel Kashkari said on Wednesday that he is a "pretty big skeptic" on cryptocurrency, arguing that "nobody has found a legitimate use case" for it, apart from as an instrument of speculation and to circumvent bank regulations. Kashkari repeated that the Fed has made good progress on inflation but that there is "more work to do" to bring it down to the 2% target. He praised the resilience of the labor market in light...

Australian inflation drops from 2.5% to 2.4%

18 hours ago

Inflation in Australia came in slightly lower than expected in February, with the country's monthly consumer price index (CPI) rising at an annual pace of 2.4%, lower than the 2.5% registered in January, according to a report released by the Australian Bureau of Statistics (ABS) on Wednesday. Meanwhile, the CPI excluding volatile items and holiday travel stood at 2.7% in February, lower than the previous month's figure of 2.9%. A measure of core inflation, the...

This website uses cookies to ensure you get the best experience. Our Terms of Use and Data Protection Policy explain the data we collect, why we collect them, and how we may share them.