Yellen says Biden COVID bill to fuel 'very strong' U.S. recovery
- S&P 500, Dow climb for third day and close at records
- Tesla (TSLA) China Numbers 'Robust' - Wedbush
- Apple (AAPL) Shares Seen as 'Attractive' as Recent Checks Show Continuously Strong Demand - Citi
- Investors Poured More Money Into Stocks in Past 5 Months Than Last 12 Years, Says BofA, Analysts Worried About Stretched Valuations
- Amazon.com warehouse workers vote to reject forming union in Alabama
FILE PHOTO: Federal Reserve Chairman Janet Yellen speaks during a news conference after a two-day Federal Open Markets Committee (FOMC) policy meeting, in Washington, U.S., September 20, 2017. REUTERS/Joshua Roberts
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
By David Lawder and Susan Heavey
WASHINGTON (Reuters) - U.S. Treasury Secretary Janet Yellen said on Monday that President Joe Biden's $1.9 trillion coronavirus aid package will provide enough resources to fuel a "very strong" U.S. economic recovery, but will not address longstanding inequality problems.
"This is a bill that will really provide Americans the relief they need to get to the other side of the pandemic, and we expect the resources here to really fuel a very strong economic recovery," Yellen said in an interview on MSNBC.
She repeated her expectations that the package would allow the United States to return to pre-pandemic "full employment" levels by next year.
Yellen said there would still be longstanding inequality problems in the economy that needed to be addressed by further legislation. The Biden administration agreed to drop an increase in the minimum wage to $15 as part of the COVID-19 package. The administration plans to pursue that separately and has proposed trillions of dollars in investments in infrastructure, education and research.
Asked about inflation if the increased spending causes the economy to run too hot, Yellen said she did not expect that to happen but "there are a lot of risks faced by this economy" and that the package addresses the biggest ones that can cause permanent scarring on people's lives.
"If it turns out to be inflationary, there are tools to deal with that, and we'll monitor that closely," Yellen said of the bill's measures.
Yellen said on Friday that she did not see higher long-term Treasury yields as a sign of inflation worries in financial markets, but anticipation of a U.S. recovery.
(Reporting by David Lawder and Susan Heavey; Editing by Chizu Nomiyama and Andrea Ricci)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Biden Creating Commission to Study Expanding the Supreme Court - NYT
- Biden plan calls for $100 billion in new EV consumer rebates: email
- Biden willing to negotiate on corporate taxes, but 'sick and tired' of non-payers
Create E-mail Alert Related CategoriesGeneral News, Politics, Reuters
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!