Fed’s Powell Ready to Support Job Market, Even If It Means Lingering Inflation Inflation has eased “notably in the past year but remains above our longer-run goal of 2%,” Federal Reserve Chair Jerome Powell said to reporters in Washington. The FOMC left the benchmark federal funds rate in a range of 5.25% to 5.5%.Source: Bloomberg Fed chief says ‘unexpected’ weakening could prompt rate cuts Fed shift is good news for Biden and financial markets As inflation surged in 2022, the Federal Reserve moved to prevent a wage-hike spiral by jacking up interest rates. Now, with unemployment edging up, the central bank is signaling a willingness to cut rates to head off a job-cutting spiral – even if that means somewhat higher inflation for a while. For the first time in the current economic upswing, Fed Chair Jerome Powell used his opening statement at Wednesday’s press conference to declare that a surprise increase in unemployment could prompt the Fed to lower rates. He then repeated that message several times in response to reporters’ questions. « Previous Article Next Article » Share This Article Choose Your Platform: Facebook Twitter Google Plus Linkedin Related Posts Fed Chair Powell Stresses Patience on Rate Cuts Amid Inflation Battle READ MORE Crude Prices Dip Below $75 Amid Ceasefire Talks Between Israel and Hamas READ MORE Should I Invest in Bullion or Numismatic/Collectible Coins? READ MORE Target is cutting prices on up to 5,000 items to lure back inflation-weary shoppers READ MORE Add a Comment Cancel replyYour email address will not be published. Required fields are marked *Name * Email * Save my name, email, and website in this browser for the next time I comment. Comment