Fed’s Powell Sees Inflation Fight Lasting ‘Some Time,’ Warns of Economic Pain
The Federal Reserve will its tools “forcefully” to attack the 40-year high level of inflation by continuing to tighten monetary policy “for some time,” Federal Reserve Chairman Jerome Powell said at a central banking conference, on Aug. 26, at which he struck a hawkish tone that sent stocks tumbling.
Powell, in his long-awaited remarks at the annual event in Jackson Hole, Wyoming, said that higher interest rates will mean “slower growth,” “softer labor market conditions,” and “some pain for households and businesses.”
He warned that there is no quick cure for high inflation, saying that “the historical record cautions strongly against prematurely loosening policy.”…