Former Fed Chair Warns of Major Risk That Could Derail This Bull Market
Jerome Powell just shone the light on a threat facing the world's most important central bank.
Former Fed Chair Warns of Major Risk That Could Derail This Bull Market
Overview
The Federal Reserve operates with a dual mandate. It's tasked with keeping prices stable and supporting full employment in the U.S. And its main policy tool is adjusting the federal funds rate.
Given its importance to the economy, investors are glued to what the central bank says and does. These words and actions have an impact on the stock market.
Details
There has been a leadership change, as Kevin Warsh officially became the chair of the Federal Reserve on May 22, taking over from Jerome Powell. But Powell isn't walking off into the sunset. He's a member of the board of governors, so he still has a vote on policy decisions.
Source
Originally published at www.fool.com.
