Discover and read the best of Twitter Threads about #chairpowell

Most recents (6)

As was widely expected, the @federalreserve’s Federal Open Market Committee raised the target range for the Federal Funds #policy rate by 50 basis points (bps), to between 0.75% and 1.0%, and announced the start of #runoff of the central bank’s balance sheet.
As previously suggested by the #Fed’s March minutes, the pace of runoff was confirmed today as $95 billion/month ($60 billion in U.S. #Treasuries and $35 billion in Agency #MBS, with a three-month phase-in period.
Also as expected, the statement reiterated that the #FOMC “anticipates that ongoing increases in the target range will be appropriate,” underscoring the seriousness of #Fed policymakers in getting #inflation and inflation expectations under control.
Read 16 tweets
As expected, the @federalreserve’s Federal Open Market Committee continued to discuss its plans to reduce, or #taper, the pace of its #AssetPurchase program at yesterday’s meeting.
While the details of this discussion were fairly sparse, the Committee statement did state that: “If progress continues broadly as expected, the Committee judges that a moderation in the pace of asset purchases may soon be warranted.”
Further, at the recent #Fed conference in Jackson Hole, Wyo., and at the press conference, Fed #ChairPowell emphasized that both he and most Committee participants now consider the test of “substantial further progress” toward the #inflation mandate to be largely satisfied.
Read 10 tweets
It was 73 degrees and sunny in #JacksonHole, Wyoming, today; a perfect day for all those who were there….
Yet, there were no #monetary policy officials present at the traditional location of the @KansasCityFed’s late-summer #economic policy symposium, since they were conducting a “virtual symposium.”
That symposium provided #ChairPowell the opportunity to lay out a reasonably sunny perspective on the U.S. #economy, but also one that was not out of the woods yet, in terms of Covid variant risk and a maximum #employment target still to be achieved.
Read 10 tweets
The @federalreserve’s #JacksonHole Policy Symposium has typically been thought of as an event of #academic contemplation, rather than of active #policy innovation, but 2020’s event proved to be the exception to the rule.
That’s because #Fed #ChairPowell surprised many by introducing the #FOMC’s Statement on Longer-Run Goals and Monetary Policy Strategy, which was not expected until later in the year.
In many respects, the Strategy statement represents a mirror image to the #Fed’s stance more than a generation ago, in August 1979, when Chair Paul #Volcker took over leadership of the central bank…
Read 7 tweets
For us, while #ChairPowell’s testimony before #Congress yesterday and the day prior didn’t reveal any new policy news, it did highlight the longer-term #economic challenges the country faces.
Specifically, the # Fed Chair emphasized that not only is the loss to #growth the most severe on record, but the “burden of the downturn has not fallen equally on all Americans. Instead, those least able to withstand the downturn have been affected most.”
And while some questioned the Chair about potential risks created by the expansion of the #Fed’s balance sheet, Chair Powell downplayed the idea of even having to unwind the balance sheet expansion, suggesting that #economic growth would shrink its relative size over time.
Read 5 tweets
Recent actions by the @federalreserve have been awe-inspiring; I’m not sure what words would be stronger than that- but they’re required.
The #Fed has gotten at interest #rates, the #mortgage market, the financing markets, and the #Treasury market (and particularly the functioning of the off-the-run-issues).
Specifically, tonight we’ve seen an historic 100 basis point #policy rate cut (and a commitment to maintain it until conditions normalize), #bank borrowing from the discount window cut 150 bps, to 0.25%, with term #funds to be offered…
Read 8 tweets

Related hashtags

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3.00/month or $30.00/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!