Federal Reserve Board of Governors Chairman Powell, the central bank of the United States, spoke on Wednesday, expressing concern over the recent surge in long-term interest rates that has caused stock prices to fall.
Fed Chair Powell attended an economic media forum on the 4th.
In this, Chair Powell reiterated the policy of patiently continuing large-scale monetary easing measures such as the zero interest rate policy, saying that recovery will still take time.
On top of that, Powell said that long-term interest rates are rising in anticipation of economic recovery, saying, "If the bond market turmoil continues, the Fed's goal for economic recovery will be jeopardized." Shown.
However, on the other hand, Chairman Powell also said, "Prices may rise if consumption increases as economic activity resumes."
In the stock market, stock prices have been declining due to the rise in long-term interest rates, and although Chairman Powell's remarks on the 4th have been attracting attention, it is perceived that he did not show a strong sense of caution, and long-term interest rates It rose again.
As the financial markets continue to move erratically, the Fed's meeting is scheduled to begin on the 16th of this month to determine immediate monetary policy.