Fed officials say U.S. economy still in depths of recession, more relief needed By Jonnelle Marte
FILE PHOTO: The Federal Reserve building is pictured in Washington, DC
(Reuters) – The U.S. economy is still deep in a recession and more fiscal relief will be needed to reach a full recovery and help some of the unemployed find jobs, two Federal Reserve policymakers said on Monday.
“We’re still in the depths of a recession,” Boston Fed Bank President Eric Rosengren said during a virtual discussion about uneven outcomes in the labor market. “I hope over the course of the spring we’re really talking about a significant recovery.”
Fed to stick to super-easy policy amid economic ‘lull’
The Federal Reserve has no plans to dial back its super-easy policy even as the incoming Biden administration lobbies for a new and massive round of stimulus that sets the economy up for faster growth once vaccines are fully rolled out.
Boston Fed Bank President Eric Rosengren on Friday was the latest to join the chorus at the U.S. central bank calling for continued support for the economy, saying on Friday he welcomes President-elect Joe Biden’s proposed $1.9 trillion stimulus package.
“It is a big package but I think it’s appropriate,” Rosengren told CNBC in an interview.
The Federal Reserve has no plans to dial back its super-easy policy even as the incoming Biden administration lobbies for a new and massive round of stimulus that sets the economy up for faster growth once vaccines are fully rolled out. Boston Fed Bank President Eric Rosengren on Friday was the latest to join the chorus at the US central bank calling for continued support for the economy, saying on Friday he welcomes President-elect Joe Biden s proposed $1.9 trillion stimulus package. It is a big package but I think it s appropriate, Rosengren told CNBC in an interview. The economy is in a lull right now, he said, citing a decline in jobs in December and a still-high unemployment rate of 6.7%.