1. Walsh reiterated previous policy signals, stressing that the Federal Reserve will maintain independence in formulating policies and is committed to bringing inflation back to the target level — after all, the inflation rate has exceeded the target for five years. He refuted claims that there is a “cruel choice” between the Federal Reserve's “full employment” and “price stability,” and said that as long as inflation is controlled, the economy can prosper and develop, and companies can expand recruitment. 2. He downplayed the importance of the June Consumer Price Index report released on the eve of the hearing. Although the report showed that the June inflation rate was significantly lower than economists' expectations, he said that while some might say “it's done,” “I don't think so.” 3. He also hinted that he is inclined to tighten the policy, and said that in the next period, “I will ask my colleagues to have a heated internal debate to discuss the extent and timing of the Federal Reserve's policy tools to fulfill the promise of price stability.” 4. Although only one member of the Democratic Party voted in favor when the Senate confirmed his tenure, Walsh won praise from many Democrats in the hearing panel. Senior congressional correspondent Steve Dennis pointed out that in the context of Trump's continued pressure to cut interest rates, the Democrats are trying to support and cheer him up. 5. Market reaction: Affected by this, US Treasury bonds erased some of the gains brought about by the release of earlier CPI data, but as of 1:16 p.m. New York time, two-year treasury yields had fallen by nearly 7 basis points. The S&P 500 Index rose 0.3%, and the Bloomberg Dollar Spot Index fell 0.3%.

Disclaimer:Webull uses external vendor Google Translation Service for news translations where we endeavour to ensure these are correct, however, we recommend that you please double-check this information accordingly. Webull is not responsible for translation errors or issues.