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Fed foresees long economic recovery

Fed foresees long economic recovery

While some optimists forecast a speedy economic recovery, realists remain cautious predicting such a bright future. Although the US is considered the world’s largest economy, it does not hope for an immediate revival and is getting ready for a long path to its aim.

"The economic recovery remains uneven and far from complete, and the path ahead is highly uncertain," Federal Reserve Chair Jerome Powell said. These worlds fully reflect the US government’s approach to the issue. The US officials suppose that they have to be patient and do their best to push the national economy higher. They believe that the world’s largest economy was battered by both the coronavirus outbreak and Donald Trump’s policy. The new administration of the White House has to tackle thorny issues, which require immediate solutions. Jerome Powell promised that the Fed would not change the monetary policy and would keep the key rate at its record low amid the remaining uncertainties. However, the US employment and inflation will need a lot of time to reach the targeted levels even amid such overwhelming support.

“While we should not underestimate the challenges we currently face, developments point to an improved outlook for later this year. In particular, ongoing progress in vaccinations should help speed the return to normal activities,” Jerome Powell added.



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