Powell answers questions in the House
- House price rises aren't driven by irresponsible lending
- Low rates are part of higher house prices but changes in preferences are as well
- Building supply materials are also contributing to home prices rises
- Housing prices are climbing at a high rate
- More housing supply would alleviate home price rises
- Expects a Fed report on central bank digital currency in Sept
- Incoming inflation data has been higher than expected, but is still consistent with what we were talking about (regarding transitory inflation)
- Cites school reopening that should ease labor market
Treasury yields remain near the lows of the day with 10s down 4.7 bps to 1.37%. Overall though you can't point to a headline from Powell in the Q&A that's moved the market.
