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

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Inside Trump's antifa tweet

President Trump at Cape Canaveral on May 30. Photo: Paul Hennessy/SOPA Images/LightRocket via Getty Images

As recently as Saturday night, senior administration officials told me that the designation of a violent cohort of far-left activists, antifa, as a terrorist organization was not being seriously discussed at the White House. But that was Saturday.

Behind the scenes: The situation changed dramatically a few hours later, after prominent conservative allies of the president, such as his friend media commentator Dan Bongino, publicly urged a tough response against people associated with antifa (short for "anti-fascist").

U.S. enters 6th day of nationwide protests over George Floyd's killing

A protest in Philadelphia on May 31. Photo: Mark Makela/Getty Images

Protests continued across the country for the sixth day in a row on Sunday, as demonstrators called for justice in response to the deaths of George Floyd, EMT Breonna Taylor, jogger Ahmaud Arbery and countless other black Americans who have suffered at the hands of racism and police brutality.

What's happening: Protestors in D.C. broke one police barricade outside the White House on Sunday evening after reportedly demonstrating for several hours. The atmosphere was still largely peaceful as of 6pm ET.

Trump privately scolded, warned by allies

Illustration: Aïda Amer/Axios. Photo: Win McNamee/Getty Images

Over the past couple of days, numerous advisers both inside and outside the White House have urged the president to tone down his violent rhetoric, which many worry could escalate racial tensions and hurt him politically.

Behind the scenes: The biggest source of internal concern was Trump's escalatory tweet, "when the looting starts, the shooting starts." Some advisers said it could damage him severely with independent voters and suburban women.