KONTAN.CO.ID - WASHINGTON. A full U.S. economic recovery will not occur until the American people are sure that the novel coronavirus epidemic has been brought under control, Federal Reserve Chair Jerome Powell said on Tuesday as he began the first of two days of hearings before U.S. lawmakers. "Until the public is confident that the disease is contained, a full recovery is unlikely," Powell said in prepared testimony to the Senate Banking Committee as he mapped out how the United States faces an uncertain, uneven and prolonged economic recovery from the novel coronavirus crisis. The Fed last week kept interest rates unchanged near zero and made clear it plans years of extraordinary stimulus as the nation grapples with steps toward fully reopening its economy amid state and local surges in cases, and with no vaccine in sight. "The longer the downturn lasts, the greater the potential for longer-term damage from permanent job loss and business closures," Powell said.
U.S. economic recovery hinges on virus being under control, Fed's Powell says
KONTAN.CO.ID - WASHINGTON. A full U.S. economic recovery will not occur until the American people are sure that the novel coronavirus epidemic has been brought under control, Federal Reserve Chair Jerome Powell said on Tuesday as he began the first of two days of hearings before U.S. lawmakers. "Until the public is confident that the disease is contained, a full recovery is unlikely," Powell said in prepared testimony to the Senate Banking Committee as he mapped out how the United States faces an uncertain, uneven and prolonged economic recovery from the novel coronavirus crisis. The Fed last week kept interest rates unchanged near zero and made clear it plans years of extraordinary stimulus as the nation grapples with steps toward fully reopening its economy amid state and local surges in cases, and with no vaccine in sight. "The longer the downturn lasts, the greater the potential for longer-term damage from permanent job loss and business closures," Powell said.