Federal Reserve Chairman Jerome Powell on Tuesday stressed that central bank policymakers remain committed to wrestling high inflation under control, even though the methods to do so can prove to be politically unpopular.
“Price stability is the bedrock of a healthy economy and provides the public with immeasurable benefits over time,” Powell said Tuesday in remarks prepared for delivery at a conference held by Sweden’s central bank. “But restoring price stability when inflation is high can require measures that are not popular in the short term as we raise interest rates to slow the economy.”
Powell did not comment on where policy may be headed for the Fed in coming months. Policymakers last year voted to raise interest rates seven straight times to a range of 4.25% to 4.5% ,well into restrictive territory. In speeches since then, officials have signaled that additional hikes are coming – and they intend to hold rates at elevated levels for some time.
This is a developing story. Please check back for updates.