Fed Chair Jerome Powell said Fed policymakers now want to take some time “to get a better understanding of the economy’s trajectory” and how they might do more to bolster the economy. One possible move, he said, would be to provide more specific guidance about how long the Fed will keep short-term rates low. This guidance could help the economy by reducing the likelihood that investors will send borrowing costs higher before the Fed intends. But Powell said it is still an “open question” as to whether the Fed would take that approach. The chairman pushed back at a question about whether the economy could sink into something resembling the Great Depression of the 1930s.

Source: The Standard June 11, 2020 01:18 UTC