FX.co ★ Jerome Powell calls for more stimulus

Fed’s Chairman Jerome Powell is sure that the global economy needs additional stimulus. He emphasizes that in case of successful massive vaccination, the economy may still face risks.

"With the virus now spreading, the next few months could be challenging," Powell said. "The concern is that people will lose confidence in efforts to control the pandemic and ... we're seeing signs of that already," the Fed chairman added. Addressing the US Congress, Jerome Powell called for the adoption of additional fiscal stimulus. This is necessary to support businesses and unemployed people. The central bank, unlike Congress, does not have tools to help the needy directly. However, according to Powell, the Fed will use its full range of tools to try to help the economy thrive despite the coronavirus pandemic. He made clear that he hoped that the loan programs would remain in effect for the foreseeable future. "When the right time comes, and I don’t think that time is yet, or very soon, we’ll put those tools away," he said.