8 Apr 2015
Strong dollar having an impact – Fed’s Powell
FXStreet (Mumbai) - Fed’s Powell, in a speech in New York, said that a significant appreciation of the US dollar is having a negative impact on the economy.
Powell said the first rate hike could come as soon as June, although the US economy could support rate lift-off later in 2015. He further stated that a tighter policy would be needed on signs of froth in the markets, while mentioning that he favors raising rates “fairly gradually”.
On the labor market, Powell said the progress should continue despite March data and that Fed should look for more proof than just labor markets before tightening.
Powell said the first rate hike could come as soon as June, although the US economy could support rate lift-off later in 2015. He further stated that a tighter policy would be needed on signs of froth in the markets, while mentioning that he favors raising rates “fairly gradually”.
On the labor market, Powell said the progress should continue despite March data and that Fed should look for more proof than just labor markets before tightening.