Federal Reserve Governor Jerome Powell has good news for members of the US Congress. According to him, the US economy appears to be growing, as evidenced by several improving indicators.
“The US economy has improved significantly,” Jerome Powell said on the eve of his hearing before congressmen scheduled for the morning local time. According to Powell, the economy owes this to strong support from both the central bank and the government. “But a full recovery is still a long way off,” the Federal Reserve chief added.
But the recovery so far from the deepest bottom of the crisis is said to be going better than previously expected. According to Powell, household spending, which has “shaken” from the crisis to a greater extent than other sectors, is increasing. Jerome Powell pointed out that unemployment still remains at a relatively high level, reaching 6.2 percent, according to the latest data. “The labour market situation is still far from normal, so we will continue to support the economy for as long as it takes,” Powell added.
According to the Fed’s forecasts, there will be a relatively significant increase in household spending in the coming months as the advancing vaccination rate of the US population allows the economy to reopen. They say the Fed will do everything it can to make sure the economy goes through this difficult period successfully.