Powell speech: Effectiveness of yield curve control still an open question


Following the Federal Open Market Committee's (FOMC) decision to keep the policy rate unchanged within the target range of 0-0.25%, Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, is delivering his comments on the policy outlook.

Key quotes

"Preserving the flow of credit is essential to setting the stage for the US recovery."

"The Fed will continue to use its powers forcefully, proactively and aggressively."

"Direct fiscal support is still needed to help some people."

"Fiscal support can make a critical difference to limiting long-lasting damage to the economy."

"Fed discussed forward guidance and asset purchases at its meeting."

"Fed also reviewed yield curve control at its latest policy meeting, its effectiveness still an open question."

"It will update its monetary policy stance as more information becomes available."

About Jerome Powell (via Federalreserve.gov)

"Jerome H. Powell took office as Chairman of the Board of Governors of the Federal Reserve System on February 5, 2018, for a four-year term. Mr. Powell also serves as Chairman of the Federal Open Market Committee, the System's principal monetary policymaking body. Mr. Powell has served as a member of the Board of Governors since taking office on May 25, 2012, to fill an unexpired term. He was reappointed to the Board and sworn in on June 16, 2014, for a term ending January 31, 2028."

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