empty
 
 
23.03.2023 12:41 PM
Fed now has less work to do, says Fed Chairman Powell

This image is no longer relevant

U.S. Federal Reserve Chairman Jerome Powell stressed Wednesday that the Fed may now have less work to do. During the press conference, Powell leaned towards a dovish stance as the banking crisis hit the markets, pushing gold prices up.

Since the collapse of the Silicon Valley Bank, the biggest change in the Fed's language has been the shift from expectations of continued rate hikes to additional policy tightening.

Powell said that instead of raising rates, the committee "now anticipate that some additional policy firming may be appropriate."

After the February FOMC meeting, economic indicators were stronger than expected. But events in the banking system automatically led to tighter credit conditions for households and businesses. This means an end to rate hikes.

Fed chair Powell explained that the recent events in the banking system will likely put pressure on economic activity, hiring, and inflation. And the scale of these effects remains unclear.

Powell spoke after the Fed decided to raise rates by a quarter of a point, marking its eighth increase in a year.

Irina Yanina,
Analytical expert of InstaForex
© 2007-2024
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $4000 more!
    In July we raffle $4000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback