Fed's Powell: We will remain alert to any financial stability risks
Translation: We'll keep this party going forever
- Fed is in process of 'gradually normalizing' rates
- Fed will "preserve the essential gains in financial regulation while seeking to ensure that our policies are as efficient as possible."
- Global economy is recovering strongly
- "Monetary policy has continued to support a full recovery in labor markets and a return to our inflation target; we have made great progress in moving much closer to those statutory objectives"
- Full text
The Powell comments weren't on the schedule but they were from prepared remarks in his swearing-in ceremony, which is today. He took the formal oath on Feb 5 but this was a ceremonial swearing in.
For whatever reason, Bloomberg went with the "remain alert to any financial stability risks" as the top headline and that makes it sounds like the Fed will stay dovish if stocks fall. The real headline is the optimism on global growth, if anything.
Anyway, stories have a way of feeding on themselves and people hear what they want so the headline sounds dovish and EUR/USD is at the best levels of the day.