WASHINGTON—Federal Reserve Chairman Jerome Powell signaled the central bank is ready to cut interest rates later this month to cushion the U.S. economy against the risks of slower global growth and trade-policy uncertainty.
In testimony Wednesday on Capitol Hill, Mr. Powell said the economic outlook hadn’t improved in recent weeks and emphasized several risks. He played down developments that might have buoyed expectations such as the strong June jobs report and the recent trade truce between the U.S. and China.