Federal Reserve Chairman Jerome Powell, the central bank of the United States, warns that the new mutant virus, Omicron, poses a downside risk to the economy, while slowing down quantitative easing to cope with inflation. I showed a policy to speed up.
Fed Chair Jerome Powell attended a hearing in the Senate on the 30th, stating that Omicron shares "pose a downside risk to employment and economic activity. Supply chain = supply network disruption may worsen." He was wary of the impact on the economy.
On the other hand, he said that he would review the temporary view of inflation facing the US economy. It is appropriate to consider ending mitigation several months ahead of schedule. "
While the rate of increase in consumer prices has reached a level for the first time in almost 31 years and the Biden administration has positioned it as a top priority, the central bank has prioritized responding to inflation and has been slowing down the quantitative easing that has supported the economy. It is a form that shows the policy of speeding up.
Analysis of infectivity and the effects of existing vaccines continues on the Omicron strain, but Powell is likely to face a difficult steering to stabilize the economy and curb inflation at the same time.