Jerome Powell, the Chair of the Federal Reserve, testified to the House Financial Services Committee on Wednesday, causing Wall Street to remain subdued ahead of the much-anticipated address. Many are eagerly awaiting Powell’s testimony and the jobs data, which will be released later this week.
Powell commented on the current state of interest rates, saying that they are likely to be higher than previously anticipated. This statement caused some concern among investors and analysts who fear that higher interest rates could hinder economic growth.
Despite Powell’s warning, the markets remain optimistic. Bloomberg reports that Powell’s hawkish tone is keeping investors on their toes, but they are confident that the markets will remain stable.
However, Powell’s comments have not gone without scrutiny. MarketWatch reports that investors are questioning why Wall Street did not listen to Powell when he warned about the potential for higher interest rates.
As the week progresses, many will remain focused on Powell’s testimony and the upcoming jobs data. The markets will continue to watch closely, looking for any signs of economic growth or potential concerns.