Substantially higher loan rates have made it harder for Americans to afford a home or a car or for businesses to finance expansions. At the same time, items like rent, restaurant meals and other services are still getting costlier.
The continued strength of the U.S. economy could require further interest rate increases, Federal Reserve Chair Jerome Powell said in a closely watched speech that also highlighted the uncertain nature of the economic outlook. Powell noted that the economy has been growing faster than expected and that consumers have kept spending briskly — trends that could keep inflation pressures high. Speaking at an annual conference of central bankers in Jackson Hole, Wyoming, Powell reiterated the Fed’s determination to keep its benchmark rate elevated until inflation is reduced to its 2% target. “Although inflation has moved down from its peak — a welcome development — it remains too high,” he said.
The continued strength of the U.S. economy could require further interest rate increases, Federal Reserve Chair Jerome Powell said in a closely watched speech that also highlighted the uncertain nature of the economic outlook. Powell noted that the economy has been growing faster than expected and that consumers have kept spending briskly — trends that could keep inflation pressures high. Speaking at an annual conference of central bankers in Jackson Hole, Wyoming, Powell reiterated the Fed’s determination to keep its benchmark rate elevated until inflation is reduced to its 2% target. “Although inflation has moved down from its peak — a welcome development — it remains too high,” he said.
Economy s solid growth could require more Fed hikes to fight inflation, Powell says at Jackson Hole – Hartford Courant courant.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from courant.com Daily Mail and Mail on Sunday newspapers.