Powell's personal outlook for the economy has strengthened - Westpac

Analysts at Westpac explained that Powell left a positive assessment of the US economy.

Key Quotes:

"On the back of December’s tax package and the subsequent spending extension, Chair Powell put forward a very positive view on the US economy."

"That said, he also showed restraint on the implications for policy, highlighting the significance of FOMC consensus and a desire for a smooth policy path."

"Chair Powell did make clear in the Q&A that his personal outlook for the economy had strengthened since December; however, there was no sense of urgency, nor a desire to shift market interest rate expectations unilaterally ahead of discussions with the rest of the Committee."

"Crucial to their deliberations at the March FOMC meeting and those that follow will be the evolution of financial conditions and the implications for the real economy."