Jerome H. Powell’s central bank slashed rates, bought bonds in huge sums and rolled out never-before-tried loan programs that shifted its identity. The backlash is already beginning.
Top senators appeared to strike an agreement on the central bank’s lending powers as they struggled to clear away the last sticking points in the $900 billion compromise plan.
Leaders struggled to clear away the last sticking points in the $900 billion compromise plan, including a stubborn disagreement over the central bank’s lending powers.
Jerome H. Powell, the Federal Reserve Chair, said Wednesday that the central bank will keep interest rates near zero to support the economy as coronavirus cases surge nationwide, adding that “a full economic recovery is unlikely until people are confident that it is safe to re-engage in a broad range of activities.”
The central bank’s meeting will wrap up Wednesday, as the Fed stares down a bifurcated economic outlook.
The central bank joined a network of global financial regulators focused on climate risk. The response to the move underlined its tricky politics.