Federal Reserve Chair Jerome Powell says he may need to make 'aggressive' interest rate hikes to combat record-breaking inflation soaring 'too high'
The Fed raised its benchmark interest rate by a quarter of a percent last week to between 0.25 and 0.5 percent
Officials planned on a series of 0.25 percent increases throughout the remainder of the year that would draw rates up to 2 percent by the end of 2022
'If we conclude that it is appropriate to move more aggressively ... than 25 basis points at a meeting or meetings, we will do so,' he said
Talk of rate hikes comes as the consumer price index has reached 7.9 percent as of February, the highest inflation rate in four decades
By Morgan Phillips, Politics Reporter For Dailymail.Com
Published: 17:13 EDT, 21 March 2022 | Updated: 17:13 EDT, 21 March 2022
Federal Reserve Chair Jerome Powell said Monday that the central bank may need to get more 'aggressive' with interest rate hikes as inflation is 'much too high.'
The Fed raised its benchmark interest rate by a quarter of a percent last week to between 0.25 and 0.5 percent. Officials planned on a series of 0.25 percent increases throughout the remainder of the year that would draw rates up to 2 percent by the end of 2022 and to 2.75 percent next year.
'The labor market is very strong, and inflation is much too high,' Powell said in remarks for the National Association of Business Economics.
'We will take the necessary steps to ensure a return to price stability,' he said. 'If we conclude that it is appropriate to move more aggressively by raising the federal funds rate by more than 25 basis points at a meeting or meetings, we will do so. And if we determine that we need to tighten beyond common measures of neutral and into a more restrictive stance, we will do that as well.'
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https://www.dailymail.co.uk/news/article-10637159/Jerome-Powell-says-need-make-aggressive-rate-hikes-combat-high-inflation.html