Fed Chair Powell: U.S. Economy Remains Solid Despite Rising Uncertainty

In Brief:

Powell says labor market is strong and inflation has eased, though still above 2% target.

Fed remains committed to dual mandate of stable prices and maximum employment.

In his semi-annual monetary policy report to Congress on June 24, Federal Reserve Chair Jerome Powell affirmed that the U.S. economy remains in a strong position despite growing uncertainty. Powell highlighted low unemployment and a labor market near maximum employment, while noting that inflation has come down significantly but still exceeds the Fed’s 2% long-term target. He emphasized the central bank’s continued focus on its dual mandate: price stability and maximum employment, while acknowledging ongoing risks in both directions of the economic outlook.

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