Federal Reserve System (FRS) guidance again emphasized that interest rates should be kept high for some time to keep inflation under control. US Federal Reserve Chairman Jerome Powell spoke about this while speaking at an event of the Foreign Bankers Association in Amsterdam, the agency reported. Bloomberg.
“We did not expect the road to be smooth, but these numbers [инфляции в первом квартале] It turned out to be higher than anyone expected. That told us we needed to be patient and let the tough policies do their job,” Powell said.
The Fed chairman called current monetary policy “restrictive in many ways.” However, as Powell stated, time will tell whether interest rates are high enough to return inflation to the 2 percent target. He also ruled out further rate hikes at the next meeting.
“We think it’s probably a matter of maintaining that position for a longer period of time,” Powell said.
Powell called the April data “mixed.” The newspaper stated that the consumer price index for April is planned to be announced on Wednesday and that economists participating in Bloomberg’s survey expect 3.4% growth on an annual basis.
US Federal Reserve in early May was recorded annual rate 5.25-5.5%.
Previously Elon Musk ridicule The work of the US Federal Reserve.