Stocks surge after Fed hints at still three rate cuts this year

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By journalsofus.com


Reporters raise their hands to ask a question to Federal Reserve Chairman Jerome Powell during a news conference in Washington, DC, on March 20.
Reporters raise their hands to ask a question to Federal Reserve Chairman Jerome Powell during a news conference in Washington, DC, on March 20. Chip Somodevilla/Getty Images

Wednesday was Federal Reserve Chairman Jerome Powell’s 49th press conference since assuming the post six years ago. His longevity appeared to be longer than usual.

Powell maintained a straight face during most of the briefing, which lasted the usual hour or longer. But sometimes it seemed as if he was yearning to go towards the door.

Here are five moments that stand out:

A reporter asked Powell to provide an update on the central bank’s efforts to potentially develop a digital dollar, which would function similar to a cryptocurrency as there would be no physical version. Powell responded, “I think we’ve been pretty transparent on this, but I will try to do more.”

He then gave a longer response to the reporter, but insisted that it was “incorrect” to say that the central bank was working on a digital dollar in a secret laboratory and that they were “going to impose it on Congress at the right time.” ,

Another journalist asked the Chairman whether he wanted complete unanimity among officials of the rate-setting committee before cutting interest rates. Powell replied, “People disagree. That’s just the way it is. Life goes on. And that’s not a problem – we’ve always had disagreements.”

He elicited a brief moment of laughter from the room full of economics journalists, responding to a question about whether he would like to “put the genie back in the bottle” at a time when the central bank was less transparent. “Of course not,” Powell said.

Fed watchers treat every word Powell says as if it’s coming straight from the Bible. So naturally when he said the Fed was considering slowing the pace of securities sales “quite soon,” a reporter wanted to know what that meant. But Powell didn’t have much to add. “quite early [are] The meaning of the words we use is understood very quickly,” he said.

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