Fed Chair Jerome Powell welcomed news of the rising likelihood of an effective coronavirus vaccine in a virtual European Central Bank forum, according to Reuters. However, he believes it is too soon to access with confidence the economic implications in the near-term.

  • Even with the vaccine, the pandemic will have damaged the economy in the long-term, and more fiscal stimulus will be needed to return to normalcy.
  • Although the unemployment rate may fall further, some workers may continue needing help to find jobs.
  • Powell also reiterated that Fed is in the process of applying for membership to the Network for Greening the Financial System, the international central banking organization focused on climate change

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