Watch: Powell testifies before Senate on state of US economy

Federal Reserve chair Jerome H. Powell appeared Tuesday before the Senate Committee on Banking, Housing and Urban Affairs for a twice-yearly report to Congress on monetary policy at the nation’s central bank.

Lending rates at the Fed have remained at 5.33 percent since September — their highest this century, although nowhere near the Himalayan peaks of more than 19 percent in the early 1980s.  

To fight inflation, Powell guided the Fed’s steep jump from near-zero interest during the COVID-19 pandemic to more than 5 percent between March 2022 and May 2023. 

Speaking from a conference in Portugal hosted by the European Central Bank last week, Powell noted some progress against rising prices. However, the Fed chair said that with inflation still above their target of two percent, the Federal Open Market Committee (FOMC) would not yet ease up on interest rates. 

Watch the live video above.

Updated on July 10 at 8:05 a.m. EDT