New Fed Chair Jerome Powell Cools Overheating Talk & Confirms Gradual Approach
Jerome Hayden Powell is an American former investment banker, who is the current Chair of the Federal Reserve. He was nominated to the position by President Donald Trump and confirmed by the United States Senate. Based on public filings, Powell’s net worth is estimated to be as much as $112 million making him the richest member of the Federal Reserve Board of Governors.
Powell, during a Senate Banking Committee hearing in Washington, D.C., U.S., on Thursday, March 1, 2018, stated the following:
“By continuing to gradually raise interest rates over time we are trying to … achieve inflation moving up to target, but also make sure that the economy doesn’t overheat.”
“There is no evidence that the economy is currently overheating.”
“I will be honest. I would have thought you would have seen more wage increases by this point.”
“We’ve got an economy with strong momentum. … I do think you will begin to see wages coming up.”
These statements seemed to catch the market off-guard today as the Dow 30 sold off 420.22 points into the close off -1.68% for the day as it closed at 24,608.98.
Recently, Vista Partners (“Vista”) published February’s FREE Macroeconomic & Investment Monthly Newsletter, “Clear Skies Ahead?” Vista’s monthly newsletter contains investment considerations for Banks,Biotech, Cloud Services, Energy, Fintech, Healthcare, Manufacturing, Materials, Real Estate, SaaS, and Technology. Vista Partners centers its Coverage on the Dow 30 Components, Select Emerging Growth Companies & Vista’s Featured Companies, with exclusive, broad-based commentary from Managing Director, John F. Heerdink, Jr.
Vista Partners publishes 100% of its content free. Vista Partners offers a wealth of mixed-media resources on the Dow 30 & Select Emerging Growth Companies. To receive FREE email updates from Vista’s select & extensive coverage universe, please sign up at VistaPGlobal.com/signup.