Powell, Yellen head to Congress as inflation, variant risks rise

Fed Chair Jerome Powell and Treasury Secretary Janet Yellen are due to testify before the US Senate Banking Committee to discuss the economic recovery from Covid-19

U.S. lawmakers on Tuesday are expected to grill the heads of the Federal Reserve and Treasury Department over stubbornly high inflation and the possible impact of the new Omicron COVID-19 variant on what both officials view as a strong economy.

Fed Chair Jerome Powell and Treasury Secretary Janet Yellen are due to testify before the U.S. Senate Banking Committee at 10 a.m. EST (1500 GMT) to discuss the economic recovery from the COVID-19 pandemic. They will also appear before the House of Representatives Financial Services Committee on Wednesday.

Both released their prepared testimony late Monday, with Powell projecting 5% growth