3/26, 12:19 PM (Source: TeleTrader)
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Powell: Fed won't run out of ammunition

Federal Reserve Bank (Fed) Chairman Jerome Powell asserted on Thursday that the central bank "will not run out of ammunition" to support the United States economy amid the coronavirus crisis. He added that the Fed will have "more tools" to back the economy even if it "cut its interest rates to zero."

In an interview with NBC, Powell saw economic activity declining substantially in the second quarter but he believes it will rebound in the second half of the year. The Fed aims to ensure that the rebound is "as high as possible" when it happens, he said, adding the US economy is in "unique situation" as "virus dictates the tempo."

Furthermore, Powell urged investors to "step back" from economic activity and invest in public health as the coronavirus pandemic accelerates.

Breaking the News / GA