Charles West
Elite Member
- Joined
- Sep 14, 2004
- Professional Status
- Certified Residential Appraiser
- State
- California
We ran a 3.48% rate of inflation for March and the Supercore rate was .7% month over month or 8.4% annualized and Powell said 'Damn, we may be going to miss our mark for rate reductions.' No **** Sherlock. What a bunch of dumb mfer's.
Federal Reserve Chair Jerome Powell confirmed what financial markets had already mostly guessed: the Fed is likely to respond to the recent spurt of inflation by keeping its benchmark interest rate higher for longer.
In his first public remarks in the wake of last week’s official reports on inflation showing consumer prices falling more slowly than expected, Powell said recent data on the economy has not given policymakers confidence that inflation is firmly on the way back down to the central bank’s goal of a 2% annual rate. That means the Fed will delay any cuts to its interest rate, which it has held at a 23-year high to combat inflation.
However, Powell indicated he thought the rate was high enough at its current range of 5.25% to 5.5%, implying he does not support more rate hikes, as some Fed officials have suggested recently.
“The recent data have clearly not given us greater confidence and instead indicate that it's likely to take longer than expected to achieve that confidence,” Powell said. “That said, we think policy is well positioned to handle the risks that we face.”
The remarks marked a change of tone for Powell, who earlier in the year had characterized two hotter-than-expected inflation reports as bumps in the road rather than a reversal of the trend of consumer price increases cooling down.
“Fed Chair Powell moved more decidedly in a hawkish direction as he essentially underscored that the downward trajectory of inflation has essentially stalled,” Quincy Krosby, chief global strategist for LPL Financial, wrote in a commentary.
Fed's Powell Confirms Higher For Longer Interest Rates
APRIL 16, 2024 03:27 PM EDTFederal Reserve Chair Jerome Powell confirmed what financial markets had already mostly guessed: the Fed is likely to respond to the recent spurt of inflation by keeping its benchmark interest rate higher for longer.
In his first public remarks in the wake of last week’s official reports on inflation showing consumer prices falling more slowly than expected, Powell said recent data on the economy has not given policymakers confidence that inflation is firmly on the way back down to the central bank’s goal of a 2% annual rate. That means the Fed will delay any cuts to its interest rate, which it has held at a 23-year high to combat inflation.
However, Powell indicated he thought the rate was high enough at its current range of 5.25% to 5.5%, implying he does not support more rate hikes, as some Fed officials have suggested recently.
“The recent data have clearly not given us greater confidence and instead indicate that it's likely to take longer than expected to achieve that confidence,” Powell said. “That said, we think policy is well positioned to handle the risks that we face.”
The remarks marked a change of tone for Powell, who earlier in the year had characterized two hotter-than-expected inflation reports as bumps in the road rather than a reversal of the trend of consumer price increases cooling down.
“Fed Chair Powell moved more decidedly in a hawkish direction as he essentially underscored that the downward trajectory of inflation has essentially stalled,” Quincy Krosby, chief global strategist for LPL Financial, wrote in a commentary.
