Fed's Powell says rising dollar is restraining US growth

[NEW YORK] A top Federal Reserve official said on Wednesday that the rising US dollar is restraining growth, a trend that is likely to continue.

The nod to the dollar's impact by Fed Governor Jerome Powell shows the difficulty the Fed faces, as it lays out plans for hiking interest rates in the face of growing economic headwinds.

Mr Powell, speaking during a question and answer session following a speech at the Council of Foreign Relations here, also said that lack of liquidity in some fixed income markets was a concern for the central bank.

REUTERS