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| Fed Chair Warns the Economy May Need More as Congress Hesitates | Fed Chair Warns the Economy May Need More as Congress Hesitates |
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| The Federal Reserve chair, Jerome H. Powell, delivered a stark warning on Wednesday that the United States was experiencing an economic hit “without modern precedent,” one that could permanently damage the economy if Congress and the White House did not provide sufficient financial support to prevent a wave of bankruptcies and prolonged joblessness. | The Federal Reserve chair, Jerome H. Powell, delivered a stark warning on Wednesday that the United States was experiencing an economic hit “without modern precedent,” one that could permanently damage the economy if Congress and the White House did not provide sufficient financial support to prevent a wave of bankruptcies and prolonged joblessness. |
| Mr. Powell’s blunt diagnosis was the latest indication that the trillions of dollars that policymakers have already funneled into the economy may not be enough to forestall lasting damage from a virus that has already shuttered businesses and thrown more than 20 million people out of work. | Mr. Powell’s blunt diagnosis was the latest indication that the trillions of dollars that policymakers have already funneled into the economy may not be enough to forestall lasting damage from a virus that has already shuttered businesses and thrown more than 20 million people out of work. |
| Yet the warning comes as discussions of additional rescue measures have run aground, with Democrats proposing sweeping new programs and Republicans voicing concerns over the swelling federal budget deficit, which is projected to hit $3.7 trillion this year. President Trump and his economic advisers have pressed the pause button on negotiations for additional spending, waiting to see how much the economy rebounds as states begin lifting restrictions on business activity. | Yet the warning comes as discussions of additional rescue measures have run aground, with Democrats proposing sweeping new programs and Republicans voicing concerns over the swelling federal budget deficit, which is projected to hit $3.7 trillion this year. President Trump and his economic advisers have pressed the pause button on negotiations for additional spending, waiting to see how much the economy rebounds as states begin lifting restrictions on business activity. |
| Mr. Powell lauded Congress for the more than $2 trillion relief effort it had already funded, but he made clear that a rebound could take months to materialize, requiring more support. | Mr. Powell lauded Congress for the more than $2 trillion relief effort it had already funded, but he made clear that a rebound could take months to materialize, requiring more support. |
| “The recovery may take some time to gather momentum,” Mr. Powell said at a Peterson Institute for International Economics virtual event. “Additional fiscal support could be costly, but worth it if it helps avoid long-term economic damage and leaves us with a stronger recovery.” | “The recovery may take some time to gather momentum,” Mr. Powell said at a Peterson Institute for International Economics virtual event. “Additional fiscal support could be costly, but worth it if it helps avoid long-term economic damage and leaves us with a stronger recovery.” |
| Stock markets swooned after Mr. Powell’s comments, as investors digested the likelihood of a sluggish recovery. The S&P 500 index closed down 1.75 percent. | Stock markets swooned after Mr. Powell’s comments, as investors digested the likelihood of a sluggish recovery. The S&P 500 index closed down 1.75 percent. |
| As the virus persists and the number of unemployed grows, Mr. Powell and his central bank colleagues have begun trying to prod Congress and the White House into action by reminding them that the Fed alone cannot carry the burden of digging the economy out of its deep hole. | As the virus persists and the number of unemployed grows, Mr. Powell and his central bank colleagues have begun trying to prod Congress and the White House into action by reminding them that the Fed alone cannot carry the burden of digging the economy out of its deep hole. |
| Fed officials have slashed interest rates to zero, purchased bonds at a record pace to restore order to roiled government bond markets and unveiled nine emergency lending programs in partnership with the Treasury Department. But Mr. Powell reiterated on Wednesday that the Fed’s programs, which will buy bonds from companies and local governments and make loans to midsize businesses, can only temporarily supply credit. The Fed lacks spending powers, which are reserved to Congress. | Fed officials have slashed interest rates to zero, purchased bonds at a record pace to restore order to roiled government bond markets and unveiled nine emergency lending programs in partnership with the Treasury Department. But Mr. Powell reiterated on Wednesday that the Fed’s programs, which will buy bonds from companies and local governments and make loans to midsize businesses, can only temporarily supply credit. The Fed lacks spending powers, which are reserved to Congress. |
| Mr. Powell characterized the Fed’s ability to help as a “bridge across temporary interruptions,” while suggesting that more may be needed as huge uncertainties confront the economy, from the speed of reopening to the scope of testing and the timing of a vaccine. | Mr. Powell characterized the Fed’s ability to help as a “bridge across temporary interruptions,” while suggesting that more may be needed as huge uncertainties confront the economy, from the speed of reopening to the scope of testing and the timing of a vaccine. |
| “There is a sense, a growing sense I think, that the recovery will come more slowly than we would like,” he said, after highlighting that “the scope and speed of this downturn are without modern precedent, significantly worse than any recession since World War II.” | “There is a sense, a growing sense I think, that the recovery will come more slowly than we would like,” he said, after highlighting that “the scope and speed of this downturn are without modern precedent, significantly worse than any recession since World War II.” |
| Fed officials have increasingly cautioned that the recovery remains highly uncertain and that if the policy response proves inadequate, the consequences could be long-lasting and painful, particularly for the most disadvantaged. | Fed officials have increasingly cautioned that the recovery remains highly uncertain and that if the policy response proves inadequate, the consequences could be long-lasting and painful, particularly for the most disadvantaged. |
| Loretta Mester, the president of the Federal Reserve Bank of Cleveland, has urged more fiscal help to fend off “dire” economic scenarios. Robert S. Kaplan, the Dallas Fed president, said on Tuesday that the economy “may well” need more government help if the unemployment rate continues to rise, and Neel Kashkari, the president of the Minneapolis Fed, has said the fallout could last for years and displaced workers will probably need more aid to make it through. | Loretta Mester, the president of the Federal Reserve Bank of Cleveland, has urged more fiscal help to fend off “dire” economic scenarios. Robert S. Kaplan, the Dallas Fed president, said on Tuesday that the economy “may well” need more government help if the unemployment rate continues to rise, and Neel Kashkari, the president of the Minneapolis Fed, has said the fallout could last for years and displaced workers will probably need more aid to make it through. |
| Coronavirus lockdowns have left tens of millions unemployed, disproportionately hitting service sector workers, many of them low income and without savings. Mr. Powell said a Fed survey set for release on Thursday would show that almost 40 percent of people who were working in February and were members of households making less than $40,000 a year had lost their jobs in March. | Coronavirus lockdowns have left tens of millions unemployed, disproportionately hitting service sector workers, many of them low income and without savings. Mr. Powell said a Fed survey set for release on Thursday would show that almost 40 percent of people who were working in February and were members of households making less than $40,000 a year had lost their jobs in March. |
| “While the economic response has been both timely and appropriately large, it may not be the final chapter, given that the path ahead is both highly uncertain and subject to significant downside risks,” Mr. Powell said. | “While the economic response has been both timely and appropriately large, it may not be the final chapter, given that the path ahead is both highly uncertain and subject to significant downside risks,” Mr. Powell said. |
| “Since the answers are currently unknowable, policies will need to be ready to address a range of possible outcomes.” | “Since the answers are currently unknowable, policies will need to be ready to address a range of possible outcomes.” |
| Whether Mr. Powell can push lawmakers into action remains to be seen. The Fed chair has cultivated solid relationships with key congressional Republicans and has a history of influencing economic thinking on Capitol Hill. Yet many Republicans, urged on by Mr. Trump, have begun trying to shift the conversation from federal spending support toward efforts to help the economy rebound as quickly as possible. They have largely stopped conveying the sense of urgency that Mr. Powell voiced on Wednesday. | Whether Mr. Powell can push lawmakers into action remains to be seen. The Fed chair has cultivated solid relationships with key congressional Republicans and has a history of influencing economic thinking on Capitol Hill. Yet many Republicans, urged on by Mr. Trump, have begun trying to shift the conversation from federal spending support toward efforts to help the economy rebound as quickly as possible. They have largely stopped conveying the sense of urgency that Mr. Powell voiced on Wednesday. |
| “I’m not sure I agree with that,” Senator Patrick J. Toomey, Republican of Pennsylvania, said when asked about Mr. Powell’s remarks. “Not sure that pumping more money out of Washington is going to do more good than harm at this point. I think we have to think that through very carefully.” | “I’m not sure I agree with that,” Senator Patrick J. Toomey, Republican of Pennsylvania, said when asked about Mr. Powell’s remarks. “Not sure that pumping more money out of Washington is going to do more good than harm at this point. I think we have to think that through very carefully.” |
| On Tuesday, House Democrats released a multitrillion-dollar, 1,800-page proposal that includes hundreds of billions of dollars for state and local governments to shore up holes in their budgets and additional direct payments and tax credits for low- and middle-income Americans. But the proposal also contains a wide range of provisions that Republicans dismissed immediately as not directly linked to those struggling amid the pandemic, including bailouts for troubled pension plans and lifting a cap on state and local tax deductions. | On Tuesday, House Democrats released a multitrillion-dollar, 1,800-page proposal that includes hundreds of billions of dollars for state and local governments to shore up holes in their budgets and additional direct payments and tax credits for low- and middle-income Americans. But the proposal also contains a wide range of provisions that Republicans dismissed immediately as not directly linked to those struggling amid the pandemic, including bailouts for troubled pension plans and lifting a cap on state and local tax deductions. |
| Republicans are working on their own proposals that Democrats have similarly said should be off the table, including shielding businesses from virus-related legal liabilities. Lawmakers and the White House have also begun pushing for additional individual and business tax cuts. | Republicans are working on their own proposals that Democrats have similarly said should be off the table, including shielding businesses from virus-related legal liabilities. Lawmakers and the White House have also begun pushing for additional individual and business tax cuts. |
| Senator Kevin Cramer, Republican of North Dakota, did not seem spurred to action by Mr. Powell’s warnings, noting that “it’s one person’s voice — a smart person, that I tend to agree with a lot — but it is just one person.” | Senator Kevin Cramer, Republican of North Dakota, did not seem spurred to action by Mr. Powell’s warnings, noting that “it’s one person’s voice — a smart person, that I tend to agree with a lot — but it is just one person.” |
| “I think we have to be very targeted about the next few weeks,” he said. | “I think we have to be very targeted about the next few weeks,” he said. |
| Senator Marco Rubio, Republican of Florida, expressed some openness to more financial relief, provided that the spending was temporary and dealt with the pandemic as opposed to creating new permanent programs that would balloon the deficit. | Senator Marco Rubio, Republican of Florida, expressed some openness to more financial relief, provided that the spending was temporary and dealt with the pandemic as opposed to creating new permanent programs that would balloon the deficit. |
| “I’m not insensitive to the debt issue nor do I believe we can government-spend our way out of this forever. Government cannot replace the private economy,” he said, adding that “at some point, we need economic activity to come back.” | “I’m not insensitive to the debt issue nor do I believe we can government-spend our way out of this forever. Government cannot replace the private economy,” he said, adding that “at some point, we need economic activity to come back.” |
| Early indications suggest that activity is only returning slowly to states that have moved to reopen businesses, as many would-be consumers and workers continue to stay home out of fear of contracting the virus. Total hours worked by employees of small businesses that use the human resource firm Homebase remain down by a third from pre-crisis levels in South Carolina and by two-fifths in Texas and Georgia, even after governors eased many restrictions in those states. | Early indications suggest that activity is only returning slowly to states that have moved to reopen businesses, as many would-be consumers and workers continue to stay home out of fear of contracting the virus. Total hours worked by employees of small businesses that use the human resource firm Homebase remain down by a third from pre-crisis levels in South Carolina and by two-fifths in Texas and Georgia, even after governors eased many restrictions in those states. |
| With little evidence that Republicans and Democrats are willing to work together to continue helping businesses through a protracted slump, there is growing concern that the trillions already spent may have been too limited. | With little evidence that Republicans and Democrats are willing to work together to continue helping businesses through a protracted slump, there is growing concern that the trillions already spent may have been too limited. |
| Updated June 5, 2020 | Updated June 5, 2020 |
| So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. | |
| A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. | A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. |
| The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. | The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. |
| Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission. | Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission. |
| Exercise researchers and physicians have some blunt advice for those of us aiming to return to regular exercise now: Start slowly and then rev up your workouts, also slowly. American adults tended to be about 12 percent less active after the stay-at-home mandates began in March than they were in January. But there are steps you can take to ease your way back into regular exercise safely. First, “start at no more than 50 percent of the exercise you were doing before Covid,” says Dr. Monica Rho, the chief of musculoskeletal medicine at the Shirley Ryan AbilityLab in Chicago. Thread in some preparatory squats, too, she advises. “When you haven’t been exercising, you lose muscle mass.” Expect some muscle twinges after these preliminary, post-lockdown sessions, especially a day or two later. But sudden or increasing pain during exercise is a clarion call to stop and return home. | Exercise researchers and physicians have some blunt advice for those of us aiming to return to regular exercise now: Start slowly and then rev up your workouts, also slowly. American adults tended to be about 12 percent less active after the stay-at-home mandates began in March than they were in January. But there are steps you can take to ease your way back into regular exercise safely. First, “start at no more than 50 percent of the exercise you were doing before Covid,” says Dr. Monica Rho, the chief of musculoskeletal medicine at the Shirley Ryan AbilityLab in Chicago. Thread in some preparatory squats, too, she advises. “When you haven’t been exercising, you lose muscle mass.” Expect some muscle twinges after these preliminary, post-lockdown sessions, especially a day or two later. But sudden or increasing pain during exercise is a clarion call to stop and return home. |
| States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people. | States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people. |
| Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. | Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. |
| Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. | Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. |
| If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) | If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) |
| Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications. | Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications. |
| The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing. | The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing. |
| If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. | If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. |
| If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested. | If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested. |
| The economic stimulus payments that many Americans received remain, at least for now, a one-time payout. Expanded aid to the unemployed is set to expire at the end of July. | The economic stimulus payments that many Americans received remain, at least for now, a one-time payout. Expanded aid to the unemployed is set to expire at the end of July. |
| The government’s main vehicle for helping small businesses — the Paycheck Protection Program — has nearly exhausted its $660 billion in funds, and many companies are beginning to worry that the loans, which cover just eight weeks of payroll, will not be enough as the virus persists. | The government’s main vehicle for helping small businesses — the Paycheck Protection Program — has nearly exhausted its $660 billion in funds, and many companies are beginning to worry that the loans, which cover just eight weeks of payroll, will not be enough as the virus persists. |
| Economists and business advocates say now is not the time to abandon efforts that could determine whether a company comes through the crisis bruised but alive or is forced into bankruptcy. | Economists and business advocates say now is not the time to abandon efforts that could determine whether a company comes through the crisis bruised but alive or is forced into bankruptcy. |
| “They have yet to solve for the fundamental problem,” said John Lettieri, the president of the Economic Innovation Group, a Washington think tank that has pushed Congress and the Trump administration to spend more on the payroll program and loosen restrictions. “The program as implemented simply doesn’t do enough to help deeply affected businesses survive the crisis.” | “They have yet to solve for the fundamental problem,” said John Lettieri, the president of the Economic Innovation Group, a Washington think tank that has pushed Congress and the Trump administration to spend more on the payroll program and loosen restrictions. “The program as implemented simply doesn’t do enough to help deeply affected businesses survive the crisis.” |
| If the current recession is drawn out, Mr. Powell said, it could inflict “lasting damage” on the economy’s productive capacity, with “avoidable” business insolvencies weighing on growth for years to come. He also cautioned that long stretches of unemployment could erode worker skills and leave families struggling with huge debt loads. | If the current recession is drawn out, Mr. Powell said, it could inflict “lasting damage” on the economy’s productive capacity, with “avoidable” business insolvencies weighing on growth for years to come. He also cautioned that long stretches of unemployment could erode worker skills and leave families struggling with huge debt loads. |
| “We ought to do what we can to avoid these outcomes, and that may require additional policy measures,” Mr. Powell said. | “We ought to do what we can to avoid these outcomes, and that may require additional policy measures,” Mr. Powell said. |
| While congressional Republicans are worried that the packages will significantly add to the federal deficit, Mr. Powell said this was not the moment to fret over government spending. | While congressional Republicans are worried that the packages will significantly add to the federal deficit, Mr. Powell said this was not the moment to fret over government spending. |
| “Now, when we are facing the biggest shock that the economy has had in modern times, is, for me, not the time to prioritize considerations like that,” he said. That time will come “a few years down the road, when the economy is well and truly recovered, or at least mostly recovering.” | “Now, when we are facing the biggest shock that the economy has had in modern times, is, for me, not the time to prioritize considerations like that,” he said. That time will come “a few years down the road, when the economy is well and truly recovered, or at least mostly recovering.” |
| Mr. Trump, who has been consistently critical of Mr. Powell and accused him of putting the United States at a disadvantage by keeping interest rates too high, said on Wednesday night that the Fed chair was the government’s “most improved player.” | Mr. Trump, who has been consistently critical of Mr. Powell and accused him of putting the United States at a disadvantage by keeping interest rates too high, said on Wednesday night that the Fed chair was the government’s “most improved player.” |
| While noting that he still wanted the central bank to try out negative interest rates, Mr. Trump said Mr. Powell had been doing a “great job.” Mr. Powell on Wednesday ruled out lowering rates below zero, saying evidence about the effectiveness of negative interest rates had been “mixed.” | While noting that he still wanted the central bank to try out negative interest rates, Mr. Trump said Mr. Powell had been doing a “great job.” Mr. Powell on Wednesday ruled out lowering rates below zero, saying evidence about the effectiveness of negative interest rates had been “mixed.” |