WRAPUP 1-Fed's Powell says no evidence U.S. economy overheating [Reuters]
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Source: Reuters
Fed's Powell says no evidence U.S. economy overheating | Reuters 5 Min Read WASHINGTON (Reuters) - Federal Reserve Chairman Jerome Powell said on Thursday the U.S. economy does not appear to be running hot, even as the influential head of the New York Fed suggested a faster pace of interest rate increases may still be in the offing for 2018. “There is no evidence the economy is overheating,” Powell told the Senate Banking Committee in his second appearance in Congress this week, saying he expects the Fed to stick with a “gradual” pace of monetary policy tightening. But in remarks at an event in Sao Paulo, Brazil, New York Fed President William Dudley said “gradual” could still apply to a scenario in which borrowing costs were raised four times this year, instead of the three moves Fed policymakers projected when they issued their last set of economic projections in December.[L2N1QJ1M0] Yet the Fed officials’ comments were overshadowed by President Donald Trump’s announcement of a plan
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