7/12/2018, 8:16 PM (Source: TeleTrader)
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Powell: US economy is in really good place

United States Federal Reserve Chair Jerome Powell said in an interview with Marketplace's Kai Ryssdal on Thursday that the country's economy is in "a really good place."

Powell noted that unemployment in the US is at its lowest level in the past 20 years and "people have been coming back into the labor force or not leaving it" over the past five years. However, he noted that with the unemployment rate at 4%, the Fed expected wages to increase "fairly significantly," which has not been the case. "I would have expected, that wages would move up a little bit more," Powell noted. However, the Fed chief pointed out that wages started to grow "a little bit more" in the past 12 months.

The Fed has moved "really close" to its inflation target of 2%, Powell added, but pointed out it is still early to "declare victory" on the matter. "We want inflation to be symmetrically around 2 percent, so just kind of reaching up and touching it once doesn't fulfill that goal," he said.

Breaking the News / NP