Fed Chairman Powell emphasizes cautious approach to monetary policy, hints at possible rate cuts

From Investing.com: 2025-06-25 00:52:00

Federal Reserve Board Chairman Jerome Powell emphasized a careful approach to monetary policy during his testimony before the House Financial Services Committee. Powell stated that the Federal Open Market Committee is not rushing to lower rates and is waiting to learn more about the economy. Inflation remains somewhat elevated above the 2% goal, with tariffs likely to push up prices. Powell hinted that cuts might happen sooner rather than later if inflation remains contained. Despite some uncertainty, Powell believes the U.S. economy is in a solid position, but consumer sentiment is a concern due to trade policy. Powell also discussed the risks of tariffs on inflation and the Fed’s cautious approach to rates. Fed Governor Michelle Bowman suggested rate cuts could happen in July if current trends persist.



Read more at Investing.com: Powell Reiterates Fed’s ’Careful’ Approach in House Address