Investing.com – Federal Reserve Chairman Jerome Powell downplayed expectations for a recession in the U.S., but reiterated that the central bank would continue to “act as appropriate” to support the expansion.
"Recession is not a likely outcome for the U.S. or the global economy," Powell said. He saw the most likely case was for the United States to continue to see moderate growth.
Businesses want certainty that their supply chain is secure as lack of visibility on trade policies is causing some companies to hold back on investment, he said.
Powell said he was committed to defending the Fed's 2% inflation target to avoid prolonged slowing in price pressures.
The S&P 500 was up 0.15%, Dow up 0.30% and NASDAQ Composite down 0.08%.
Powell's comments came ahead of the Federal Reserve's two-day meeting on Sept. 17-18.