FOMC Chairman Jerome Powell is testifying before the House Financial Services Committee on "Monetary Policy and the State of the Economy."

Key takeaways

"We need to get supply and demand back in better balance."

"Financial markets have been functioning well, banking system is very strong, well-capitalized."

"Liquidity in the treasury market has come down from where it was; looking at ways to address that."

"US is on an unsustainable fiscal path."

"There's a problem with longer-term housing supply."

"Housing market is slowing down to some extent now due to higher mortgage rates."

"Growth this year should still be fairly strong."

"We are trying to moderate demand so inflation can come down."

"We can't fail on getting inflation down."

"Would be reluctant to cut rates."

Market reaction

The greenback stays relatively quiet after these comments. The US Dollar Index was last seen posting small daily gains at 104.23.