Powell: Fed Will Raise Interest Rates More If Needed
Burc Oran
March 22, 2022
Powell: We will keep raising interest rates until inflation falls

US Federal Reserve (Fed) Chairman Jerome Powell said, “The Fed will increase interest rates by more than 25 basis points at a time, if necessary.”

Fed Chairman Powell said in a statement to the National Association for Business Economics that the Federal Reserve will take “necessary steps” to reduce inflation.

“If we decide it’s appropriate to move more aggressively by raising the federal funds rate above 25 basis points, we will do that,” Powell said in his speech.

Powell said that if the Fed needs to tighten its monetary policy above natural interest rates, it will do so and that the inflation outlook has deteriorated substantially this year.

The Federal Open Market Committee (FOMC) raised the policy rate to the 0.25-0.50 percent range last week, making it the first rate hike since November 2018. In his press statement after the March meeting, Powell stated that Russia’s invasion of Ukraine increased food, energy and other commodity prices and inflation pressures.

Stay informed with market news by subscribing to our reading list.

FTD Articles is a website prepared by FTD Limited's research team. FTD Limited is an online brokerage company offering products of Forex, Spot Metals and CFDs.
The ideas and the information shown here have no responsibility of any of the trading decisions made by the investors or the visitors of this site. Therefore, under no circumstances will FTD Limited nor FTD Articles be held responsible or liable in any way for any claims, damages, losses, costs or liabilities resulting or arising directly or indirectly from the use of website content. We recommend that you seek advice if you have not involved with trading before in order to prevent potential risks that may arise.

WARNING

Due to your regulatory authority, unfortunately, we cannot offer you our margin trading services.