U.S. Federal Reserve Chair Jerome Powell recently emphasized a cautious approach to interest rate cuts, highlighting persistent inflation as a key concern. Despite some progress toward the Fed’s 2% inflation target, Powell noted that recent data does not provide enough confidence to ease monetary policy soon. He stated that the economy remains strong, and the labor market is resilient, reducing urgency for immediate rate cuts. Powell reiterated the Fed's commitment to data-dependent decisions and stressed the importance of price stability. His remarks signaled that rates are likely to stay higher for longer until clearer signs of inflation easing emerge.
