FOMC Chairman Jerome Powell testifies on the Semi-annual Monetary Policy Report before the US House Financial Services Committee.

Key quotes

"We are aware of lags of monetary policy effects."

"They are highly uncertain in timeframe though."

"Slowing down pace of rate hikes this year is a way to better watch for those effects."

"Data we've seen so far suggests that ultimate level of rates will need to be higher."

"Still more data to analyze though."

"Will do everything I can to bring people into consensus on any change to bank capital requirements."

Market reaction

The US Dollar Index continues to fluctuate in its daily range at around 105.50 after these comments.