The Fed is evaluating the discontinuation of emergency tools. But there is an unknown delta

AGI – L.The Fed intends to “take away the emergency tools” that have been activated to counter the impact of the pandemic. But the delta variable, with its economic effects still difficult to assess, will require the US central bank to “closely monitor” economic developments.

Federal Reserve Chairman Jerome Powell said this, speaking online at an event for students and teachers. According to Powell, the recovery of the US economy is “far from complete” and the economic impact of the delta variable is still unclear.

“It is not yet clear what the consequences of the delta variable will have on the economy,” Powell said. The Fed has “acted too quickly” to counter the economic impact of the pandemic, and “some approved tools are only good in an emergency.” So the institute will put them aside once the emergency is over.

However, at the current stage “the Fed should monitor the situation carefully, because Covid is still there and will be there for some time.” “He added that the economy must somehow adapt to the pandemic. “It is time to understand the extent of these changes.”

In this regard, Powell specifies that in some way “people and companies have really improvised and learned to adapt. To live their lives despite the Covid virus. The most obvious thing has been working from home, remotely. Of course, many will return to work in their offices, but it is difficult to say How will all this happen, so we can say that The pandemic has changed the way we understand work and jobs.”