US Fed's Powell sees 'no evidence' of overheating economy

Washington

FEDERAL Reserve Chairman Jerome Powell said he sees no signs the US economy is overheating even as the outlook for growth strengthens and the labour market tightens.

During congressional testimony on Thursday, he reiterated the central bank will continue to raise rates gradually to keep unemployment and inflation in balance.

"By continuing to gradually raise interest rates over time, we're trying to balance those two things and achieve inflation moving up to target but also make sure the economy doesn't overh…