This week, Powell gave a long television interview and a testimony to the Senate. What groundbreaking thing did he say, and what do his remarks imply for the gold market?
Powell Gives Interview and Testifies
Powell dominated media news this week. On Sunday, the Fed Chair gave an interview to CBS news magazine “60 Minutes,” while on Tuesday, he testified before Congress. What did he say? In an interview, Powell tried to persuade viewers that the Fed has not exhausted its powers to help the economy: “we’re not out of ammunition by a long shot (…) So there’s a lot more we can do to support the economy, and we’re committed to doing everything we can as long as we need to”. But are you really so powerful, if you need convince others that you are powerful?
He also reiterated his bearish views from the recent speech to the Peterson Institute for International Economics on the US economic growth in 2020, in which he said that in the second quarter, the could drop by 20-30 percent on…