Humphrey Hawkins testimony
Humphrey-Hawkins testimony
This is a report from the head of the Federal Reserve System of the USA (Fed) that takes place twice a year, every summer and winter. First, the Senate listens to it then the House of Representatives. This report contains information about the goals and plans of the Fed in relation to current monetary policy. Investors try to use the report to guess future Fed actions concerning changes in the base interest. This speech is the strongest factor affecting the market and one of the most important events in Forex.Until mid-2000, when it expired, a piece of legislation known as Humphrey-Hawkins required the Federal Open Market Committee to report to Congress on the economy and monetary policy twice a year. While Congress wrangles over new legislation, the practice continues, with reports in February and July. While they're no longer officially Humphrey-Hawkins reports, they're still colloquially called that.
Concurrently with the release of the report, the Fed chairman testifies before Congress, summing up the report. Traditionally, it is among the most important speeches given by the Fed chairman. Under Humphrey-Hawkins, the testimony was delivered first to the House Banking Committee, and to the Senate Banking Committee within several days.
The original legislation, the Full Employment and Balanced Growth Act of 1978, was named for its sponsors, Sen. Hubert Humphrey and Rep. Augustus Hawkins.
Concurrently with the release of the report, the Fed chairman testifies before Congress, summing up the report. Traditionally, it is among the most important speeches given by the Fed chairman. Under Humphrey-Hawkins, the testimony was delivered first to the House Banking Committee, and to the Senate Banking Committee within several days.
The original legislation, the Full Employment and Balanced Growth Act of 1978, was named for its sponsors, Sen. Hubert Humphrey and Rep. Augustus Hawkins.