Nobody should assume the Federal Reserve can help if Congress fails to lift the debt limit ahead of a mid-October deadline, Powell said.
The Fed's emergency asset purchases have lifted markets and supported the recovery since early 2020. They could start shrinking later in the fall.
Investors are closely watching the two-day meeting of the FOMC for clues from Fed officials on the timing and pace of tapering of asset purchases.
Rep. Brad Sherman told the Wall Street Journal he supports Powell's reappointment to the Fed and his work with the labor market.
Powell has made some "positive changes" at the Fed, but the next chair should beef up bank regulation and fight climate change, the lawmakers said.
The benchmark S&P 500 and tech-heavy Nasdaq hit record highs in the previous session, heading for their seventh consecutive month of gains.
"I can see them delay," El-Erian told CNBC. "Clearly not September now. November will be tricky. Maybe December."
Powell's speech didn't make waves, but that lack of any surprises helped stocks hit records and reassured the Fed isn't slashing its support just yet.
After a mostly quiet week for stock markets, investors turn to Jerome Powell's speech at the Jackson Hole Symposium for clues about monetary policy.
Bitcoin has fallen relatively sharply since rising past $50,000 on Monday, for the first time since May.
The Federal Reserve influences mortgages, savings, stimulus checks, retirement accounts, and the stock market. But most people don't know what it is.
It's shaping up for another subdued day on the stock market, with investors focused on Fed Chair Jerome Powell's big speech on Friday.
Bank of America analysts said they think stock investors are also underpricing the risk of a change in Federal Reserve policy.
Stock market investors remain hyper-focused on the Federal Reserve and the direction of monetary policy.
The number of 401(k) millionaires hit a record this year, Fidelity said. At the same time, Americans are leaving the workforce at younger ages.
Most traders and investors expect Powell to lay out a potential timeline for when the Fed could begin to unwind its bond-buying program.
The former chair of the Federal Reserve will reportedly support another term for her immediate successor.