Powell calls patience in speech

In speech, which was delivered to the American Monetary Policy Forum in New York, the Chairman of the Jerome Powell’s Federal Reserve emphasized the Cautionary approach to the Central Bank in the midst of overcoming economic uncertainty.

PowerLll repeated Readiness of the Federal Reserve to maintain current interest rates, adopting “waiting and view” an item because it monitors the influence of recent policy changes and economic indicators.

“We don’t have to rush and get invited to wait for greater clarity,” he said.

Powell pointed out the robustness of the American labor market, noting that employers added 151,000 jobs in February, bringing the average monthly work until 191,000 from September.

The unemployment rate cut something to 4.1%, which remained in the narrower range between 3.9% and 4.2% over the past year.

He watched that the growth of salaries was moderated in more sustainable tempo, harmonization and demand for work, thus reduce inflationary pressures from the labor market.

“With the growth of salaries by moderation and supply of labor and demand that switch to a better balance, the labor market is not a significant source of inflatory pressure,” he said.

Inflation trends

Involved inflationPowell noticed a significant decline in its top top of the middle 2022. Year above 7% to 2.5% from January. He warned that recent readings remain just above 2% of the objective goal of the Federal Reserve.

“The way to sustainably return inflation to our goal was onions and we expect it to continue,” Powell said.

He emphasized the importance of non-exhaustion on short-term fluctuations and reiterated the central bank’s commitment to carefully monitor inflation trends to ensure that they harmonize with long-term goals.

“Inflation can be an unstable month and we do not exaggerate one or two readings that are higher or lower than expected,” he said.

Trade policies and monetary prospects

Powell touched recent trading policies, including announcements of Trump Administration and subsequent delay Step Assuvious Tariffs Guessing trading partners such as Mexico, Canada and China.

These policy shifts have contributed to the instability in the market and complicated economic views. Powell stressed the need for clarity in these areas before any adjustments to monetary policy, stating that the Central Bank was well set to wait for greater clarity in economic appearance.

Given these factors, Powell showed that the Federal Reserve will probably retain a key interest rate unchanged in the coming months. The Central Bank previously cut the reference interest rate for 100 basic points at a range of 4.25% to 4.5% in late 2024. years and held this policy in January.

Cripto reactions

CRIPTO replied to Powell’s comments with cautious optimism. Investors look convinced the patient with federal reserves, although concerns about potential stagflation and Trump’s in progress cryptomite crypto Persevere.

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