Powell's speech to the convention began. You can watch it live at the link below.
In particular, questions from congressmen and Powell's responses will be followed closely.
The highlights of the text published before the speech are as follows:
“As inflation remains well above our long-term target of 2 percent and labor market conditions remain tight, the Federal Open Market Committee (FOMC) has significantly tightened its monetary policy stance.
We have increased our policy rate by 5 percentage points since the beginning of last year and continued to reduce our securities holdings rapidly.
It will take time to fully reveal the effects of monetary tightening, especially on inflation.
Nearly all FOMC participants felt it would be appropriate to raise interest rates a little further by the end of the year. But given how quickly we moved at last week's meeting, we decided it would be prudent to keep the target range fixed to allow the committee to evaluate the additional information and its implications for monetary policy.
In determining the extent of additional policy tightening that may be appropriate to return inflation to 2 percent over time, we will consider the cumulative tightening of monetary policy, delays in monetary policy's impact on economic activity and inflation, and economic and financial developments.
We will continue to make our decisions from meeting to meeting according to the sum of the incoming data and their reflections on the economic activity and inflation outlook, as well as the risk balances.”
