Federal Reserve

Watch Fed Chairman Jerome Powell live in his Senate testimony

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Fed Chairman Jerome Powell appeared Thursday before the Senate Banking Committee in the second part of his semiannual remarks to Congress.

Powell's remarks Tuesday before the House Financial Services Committee shook markets, as traders interpreted the central bank chief's comments about economic growth as hawkish regarding interest rates.

Investors widely expect the Fed to hike rates three times this year, but are now making room for the possibility of a fourth hike.

Powell said he expected further hikes to be likely as unemployment continues to decline and inflation advances closer to the Fed's 2 percent target.

Sen. Mike Crapo (D-Ohio) urged Powell not to get hung up on what the market expects regarding interest rate hikes.

"I think your focus needs to be ensuring the Fed doesn't once again permit the buildup of risks in the market and hubris at the Fed," Crapo said.

The hearing calls for Powell to deliver a prepared speech then face a question and answer session afterwards. During his presentation before the House Financial Services Committee on Tuesday, Powell faced a variety of questions about monetary policy, the economy and the Fed's role in assuring diversity in the banking system.

Read Powell's prepared speech here.

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