FED Chairman Jerome Powell gives a speech on the US and Canadian economy at the Washington Forum in Washington DC, moderated by Bank of Canada Governor Tiff Macklem.
In a market where US inflation pressures have flared up again and interest rate cuts are rumored to be postponed, the FED President said the following in his statements:
- The US's performance was “fairly strong”.
- Latest data show no further progress on inflation this year.
- Twelve-month core inflation was little changed in March compared to forecasts.
- While the Fed took a cautious approach to avoid overreacting to last year's declines, recent data did not inspire further confidence.
- More time is needed for the restrictive policy to work.
- If high inflation continues, the Fed can maintain the current interest rate for as long as necessary.
- It will likely take longer to build confidence about inflation
This article will be updated as Jerome Powell's speech continues.
*This is not investment advice.
