Fed chair Powell signals stimulus tapering could start this year, but warns of Delta variant risks – as it happened

Rolling coverage of the latest economic and financial news

• Wall Street at record highs as Powell soothes investors
• Fed chair Powell says could be appropriate to start tapering this year...
• ...but also points to risks from Delta variant

Earlier:

• China's 996 overtime policy illegal
• China proposes clampdown on algorithms
• Algorithms must comply with law, social ethics and fairness...
• No disrupting public order, unfair pricing, or harming minors
• WSJ: China may ban companies with large amounts of sensitive consumer data from overseas floats

5.45pm BST

And finally, here's our economics editor Larry Elliott on Jerome Powell's speech:

Share prices hit fresh records on Wall Street after the head of the US central bank, Jerome Powell, expressed concern about rocketing Covid-19 infections and gave no new clues on when the Federal Reserve would start to ease back on its stimulus programme.

At the FOMC's recent July meeting, I was of the view, as were most participants, that if the economy evolved broadly as anticipated, it could be appropriate to start reducing the pace of asset purchases this year.

The intervening month has brought more progress in the form of a strong employment report for July, but also the further spread of the Delta variant. We will be carefully assessing incoming data and the evolving risks."

5.44pm BST

While Jerome Powell was busy not announcing a QE tapering yet, a new survey was showing that US consumer confidence weakened this month.

The University of Michigan said its consumer sentiment index fell to 70.3 in August - the lowest since December 2011 - from July's final reading of 81.2.

U of MI Consumer Expectations Index shows a strong decline (consistent with sentiment)--the interesting part is that the most dramatic drop is in the top 1/3 of income levels (magenta). Perhaps anticipating tax hikes. pic.twitter.com/hw6M10i58L

Yikes. A big decline in consumer sentiment in August.

University of Michigan says: The Consumer Sentiment Index fell 13.4% from July, recording the least favorable economic prospects in more than a decade."

Delta variant and high inflation are spooking Americans pic.twitter.com/8BsAgkxSMU

University of Michigan consumer sentiment levels ran into a ditch in August, report says lots of factors weighing, but adds 'The falloff also reflected an emotional response to people's dashed hopes that the pandemic would soon end and lives could get back to normal." pic.twitter.com/244MRqD5hY