Feb 26, 2019

Fed's Powell sees "conflicting signals" in economy

Fed chairman Jerome Powell. Photo: Alex Wong/Getty Images

Federal Reserve chairman Jerome Powell will tell the Senate Banking Committee Tuesday that the global economy currently looks strong, but the volatile stock market and uncertainties surrounding Brexit and international trade are presenting "conflicting signals" about what's ahead, according to his prepared remarks.

Between the lines: Powell's Fed has backed off its more aggressive rate hike stance in recent months, instead emphasizing the central bank's "patience." Expect Powell to face questions from members of Congress about this reversal during today's hearing.

Go deeper: Jerome Powell's attempts to please everyone have backfired

Go deeper

SoftBank to cut its stake to get T-Mobile's Sprint deal done

Illustration: Rebecca Zisser/Axios

T-Mobile and Sprint announced a revised merger agreement that will see SoftBank getting a smaller share of the combined company, while most shareholders will receive the previously agreed upon exchange rate. The companies said they hope to get the deal as early as April 1.

Why it matters: The amended deal reflects the decline in Sprint's business, while leaving most shareholders' stake intact and removing another hurdle to the deal's closure.

Trump indulges Wall Street with Milken pardon

Photo Illustration: Sarah Grillo/Axios. Photo: Chris Graythen/Getty Images

Donald Trump loves Wall Street shenanigans. Companies owned by him have declared bankruptcy six different times, and he was once sued alongside Mike Milken for participating in a scheme to artificially inflate junk-bond prices.

Driving the news: Trump pardoned Milken this week, with an official statement positively gushing over Milken's role in developing the wilder side of fixed-income capital markets.