Fed Chairman Jerome Powell said in his second-day presentation to the US Congress that one or two more rate hikes may be needed this year.
Fed Chairman Jerome Powell gave the message that there will be more interest rate hikes this year, emphasizing the importance of returning to the 2% inflation target for the long-term healthy functioning of the US economy.
Powell said that working families are the most affected by inflation.
“Fed officials think it is appropriate to raise rates one or maybe two more times this year if the economy is performing as expected,” Powell said. he said. While emphasizing that they are determined to control inflation, Powell made the assessment that “there is still a long way to go in increasing interest rates”.
Fed Chairman Powell, in his presentation to the Financial Services Committee of the US House of Representatives yesterday, stated that there is a long way to go in the process of reducing inflation to the 2 percent target, and stated that it would be appropriate to raise interest rates a little more until the end of the year.
Speaking at a different event today, Fed Executives Michelle Bowman, similar to Powell’s hawkish rhetoric, gave the message that additional rate hikes are necessary to rein in the unacceptably high inflation.