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FOMC Chairman Jerome Powell is delivering his remarks on the Federal Reserve’s response to the coronavirus crisis before the Senate Banking Committee.

Key quotes

“We don’t expect too-high inflation but have the tools to address it to guide back to 2%.”

“It will be a very very strong year in the most likely case.”

“We are strongly committed to 2% inflation, it’s fundamental to achieve that.”

“We do expect near-term upward pressure on prices.”

“We expect that upward pressure on prices to be transitory, temporary.”

“It would be a dramatic change in the Fed’s role if it were to hold deposits for individuals, businesses.”

Market reaction

The US Dollar Index showed little to no reaction to these comments and was last seen posting small daily gains at 92.45.