WASHINGTON (AP) — Federal Reserve Chair Jerome Powell cautioned Tuesday that persistently elevated inflation will likely delay any Fed rate cuts until later this year, opening the door to a period of higher-for-longer interest rates.
“Recent data have clearly not given us greater confidence” that inflation is coming under control” and instead indicate that it’s likely to take longer than expected to achieve that confidence,” Powell said during a panel discussion at the Wilson Center.
“If higher inflation does persist,” he said, “we can maintain the current level of (interest rates) for as long as needed.”
The Fed chair’s comments suggested that without further evidence that inflation is falling, the central bank will likely carry out fewer than the three quarter-point reductions its officials had forecast during their most recent meeting in March.
Massachusetts Senate weighs tuition
Taylor Swift and Travis Kelce doing Coachella in style! They will be staying at a TOP luxury members
5 arrested at dawn over freak accident at Hong Kong boy band Mirror concert
Paulo Dybala mocks Matteo Guendouzi by during ill
The Great British Sewing Bee 2024 cast: Meet the 12 contestants competing in the BBC contest
Sarah Everard's killer Wayne Couzens should never have been police officer
Guardians pitcher Carlos Carrasco placed on IL and won't face his former team, the Mets
Jeffrey Dean Morgan cuddles up to Hilarie Burton as loved
Divided Supreme Court rules no quick hearing required when police seize property
Paulo Dybala mocks Matteo Guendouzi by during ill