Federal Reserve Planning More Rate Increases to Curb Inflation

Originally published on July 27, 2022, by Craig Torres for Bloomberg.com.

Chair Jerome Powell said the Federal Reserve would press on with the steepest tightening of monetary policy in a generation to curb surging inflation while handing officials more flexibility on coming moves amid signs of a broadening economic slowdown. 

Policymakers again raised the benchmark US interest rate 75 basis points on Wednesday to a range of 2.25% to 2.5% and said they anticipate “ongoing increases” will be appropriate. 

The central bank chief said that just how much depends on how the economy performs. He stepped away from the specific guidance on the size of upcoming hikes he previously gave, though he didn’t take another jumbo move off the table.

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