Jerome Powell Says the ‘Time Is Coming’ , for Interest Rate Cuts.
In an interview with '60 Minutes' on Jan. 4, the
Federal Reserve chair said the central bank is still on track
to reduce interest rates later this year, Fox News reports. .
There is no easy, simple, obvious
path. We have to balance the risk
of moving too soon or too late.
And there are different risks. , Jerome Powell, Federal Reserve chair, via '60 Minutes'.
We think the economy's in a good place.
We think inflation is coming down. , Jerome Powell, Federal Reserve chair, via '60 Minutes'.
We just want to gain a little more
confidence that it's coming down in
a sustainable way toward our 2% goal, Jerome Powell, Federal Reserve chair, via '60 Minutes'.
While the "time is coming" to cut rates, "it's not likely that this
committee will reach that level of confidence in time for the March meeting, which is in seven weeks," Powell said.
At its last meeting, the Federal Open
Market Committee kept rates steady
for the fourth consecutive time.
Rates currently sit "at a range of
5.25% to 5.5%," which is the most they've been in 22 years, Fox News reports. .
Investors and analysts expect the Fed
to start its rate cuts in May or June. .
The labor market remains strong.
353,000 jobs were added in January.
We have a strong economy. Growth is
going on a solid pace, the labor market
is strong: 3.7% unemployment, Jerome Powell, Federal Reserve chair, via '60 Minutes'.
With the economy strong like that,
we feel can approach the question
of when to begin to reduce
interest rates carefully. , Jerome Powell, Federal Reserve chair, via '60 Minutes'.
We want to see more evidence that
inflation is moving sustainably to 2%, Jerome Powell, Federal Reserve chair, via '60 Minutes'