{"id":224587,"date":"2021-04-12T03:37:00","date_gmt":"2021-04-12T00:37:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/powell-says-it-will-be-a-while-before-fed-taps-the-brakes-on-economy\/"},"modified":"2021-04-12T03:37:00","modified_gmt":"2021-04-12T00:37:00","slug":"powell-says-it-will-be-a-while-before-fed-taps-the-brakes-on-economy","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/powell-says-it-will-be-a-while-before-fed-taps-the-brakes-on-economy\/","title":{"rendered":"#\n  Powell says \u2018it will be a while\u2019 before Fed taps the brakes on economy"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_89 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6af9917d05165\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6af9917d05165\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/powell-says-it-will-be-a-while-before-fed-taps-the-brakes-on-economy\/#Fed_chairman_tells_60_Minutes_he_doesnt_want_to_go_back_to_the_%E2%80%98bad_old_inflation_days\" >Fed chairman tells \u201960 Minutes\u2019 he doesn\u2019t want to go back to the \u2018bad old inflation days\u2019<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/powell-says-it-will-be-a-while-before-fed-taps-the-brakes-on-economy\/#Greg_Robb\" >Greg Robb<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#<br \/>\n  Powell says \u2018it will be a while\u2019 before Fed taps the brakes on economy<br \/>\n<\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Fed_chairman_tells_60_Minutes_he_doesnt_want_to_go_back_to_the_%E2%80%98bad_old_inflation_days\"><\/span>\n  Fed chairman tells \u201960 Minutes\u2019 he doesn\u2019t want to go back to the \u2018bad old inflation days\u2019<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div class=\"cx--next\">\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000228125\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       Fed Chairman Jerome Powell returned to \u201c60 Minutes\u201d on Sunday to tell Americans that the economy is going to start growing strongly, but they shouldn\u2019t expect the central banks to start raising interest rates as a result.<\/p>\n<p> Asked by CBS <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a>\u2019 Scott Pelley when the Fed will start \u201ct<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ing the brakes,\u201d  Powell replied: \u201cSo what we\u2019ve said is that we\u2019d consider raising rates when the labor market recovery is essentially complete, and we\u2019re back to maximum employment and inflation is back to our 2% goal and is on track to move above 2% for some time.<\/p>\n<div class=\"paywall\">\n       \u201cIt\u2019ll be a while until we get that in place.\u201d<\/p>\n<div data-layout=\"inline\n                \" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetTweet\n            inline\n    scope-web|mobileapps\n  article__inset\n          article__inset--type-InsetTweet\n            article__inset--inline\n  \"><\/p>\n<div class=\"dynamic-inset-container article__inset__dynamic\">\n<style>\n            iframe.twitter-tweet {\n                width: 100% !important;\n            }\n        <\/style>\n<blockquote class=\"twitter-tweet\" lang=\"en\"><p>\n            <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/60Minutes\/status\/1381392292033011717\"><\/a>\n            <\/p><\/blockquote>\n<p>        <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/div>\n<\/p><\/div>\n<p>       The interview was taped at the Fed headquarters on Wednesday and aired Sunday evening. Powell had last appeared on \u201c60 Minutes\u201d last May, when he told Americans \u201cnot to bet against the American economy.\u201d<\/p>\n<p>Pelley said that Powell told him this week that the Fed\u2019s worst-case scenarios last May \u201cwere unspeakable.\u201d<\/p>\n<p>Talking about the spring of 2020, Powell said \u201cthe level of uncertainty was really frightening.\u201d<\/p>\n<p>In April 2021, things appear to have turned the corner.<\/p>\n<p>Powell said the economy \u201cseems to be at an inflection point,\u201d with strong growth coming \u201cright now\u201d and  the weakness caused by the pandemic in the rear-view mirror <\/p>\n<p>\u201cI would say that this growth that we\u2019re expecting in the second half of this year is going to be very strong. And job creation, I would expect to be very strong,\u201d he said.<\/p>\n<p>Forecasters at the Fed and on Wall Street think the economy could grow in a range of 6%-or 7%, he said. That\u2019s the fastest pace of growth since the early 1980s. <\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>Staff told Fed officials in March they believe the economy is on track to see a decline in the unemployment rate to \u201chistorically low levels,\u201d according to minutes of the Fed\u2019s last interest-rate committee meeting, released last week.<\/p>\n<p>Powell said the Fed doesn\u2019t have to raise interest rates on worry that inflation will pick up from the strong growth and job creation.<\/p>\n<p>\u201cWe can afford to wait to see actual inflation appear before we raise interest rates,\u201d Powell said.<\/p>\n<p>\u201cNow, we don\u2019t want inflation to go up materially above 2% and go back to, you know, the bad old inflation days that we had when you and I were in college,\u201d he said.<\/p>\n<p>\u201cBut at the same time, we do have the ability to wait to see real inflation. And that\u2019s what we plan on doing,\u201d he added.  \u201cWe\u2019re going to support the economy until recovery is really complete.\u201d<\/p>\n<p>Tim Duy, chief U.S. economist at SGH Macro Advisors, said Powell wanted to tell Americans that the Fed is optimistic and they should be as well.<\/p>\n<p>Another message is \u201cthe Fed is not going to do anything to stop this recovery from happening,\u201d Duy said, in an interview with MarketWatch. <\/p>\n<p>On other matters, Powell said it was \u201csurprising and concerning\u201d that Bill Hwang\u2019s Archegos Capital Management could saddle so many banks with multibillion-dollar losses.<\/p>\n<p><strong>Read:<\/strong> Credit Suisse losses linked to Archegos fire sale hit $4.7 billion<\/p>\n<p>The fact that \u201ca single client of these large firms could result in such substantial losses in a business that is <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a>ly thought to present relatively well understood risks\u201d requires regulators to work together so they understand what happened, Powell said.<\/p>\n<p>The Fed chairman also said that \u201ccyber risk\u201d is the one worry the Fed keeps its eyes on the most.<\/p>\n<p>\u201cThere are cyberattacks every day on all major institutions now,\u201d he said.<\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>      <span>By<\/span><\/p>\n<div class=\"author  hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Greg Robb\",\"subhead\":\"The Wall Street Journal\",\"list\":[]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Greg_Robb\"><\/span>Greg Robb<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B21005575-02D4-D4B5-4572-D37B1D18026B%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Powell says \u2018it will be a while\u2019 before Fed taps the brakes on economy &#8221; Fed chairman tells \u201960 Minutes\u2019 he doesn\u2019t want to go back to the \u2018bad old inflation days\u2019 Fed Chairman Jerome Powell returned to \u201c60 Minutes\u201d on Sunday to tell Americans that the economy is going to start growing strongly,&#8230;<\/p>\n","protected":false},"author":1,"featured_media":224588,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-224587","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/224587","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=224587"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/224587\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/224588"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=224587"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=224587"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=224587"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}