Central Banks
Fed’s Powell Opens Door to June Rate Pause, Stresses Inflation Job Not Done
- Fed chief pushes back on expectations for rate cuts in 2023
- Says First Republic resolution helps put floor under turmoil
Federal Reserve Chair Jerome Powell hinted the US central bank’s latest interest-rate increase could be the last one, but stopped short of declaring victory on its battle against rapid price increases.
Powell left the door open for officials to keep raising borrowing costs if inflation remains more stubborn than they expect, and pushed back strongly against market expectations that the Fed will be cutting rates by year-end.