BlockNews
FOLLOW ON X
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
Home FINANCE

Interest Rate Outlook Uncertain: Here is Why

by Sham
April 3, 2024
in FINANCE
Reading Time: 3 mins read
A A
1
SHARES
18
VIEWS
Share on XShare in TelegramShare on Reddit
  • Federal Reserve Chairman Jerome Powell emphasized the need for more evidence that inflation is easing before the central bank considers cutting interest rates.
  • Powell stated that it’s too soon to say whether recent stronger-than-expected inflation readings represent more than just a temporary bump.
  • The Fed chair reiterated that rate cuts are likely to be appropriate at some point this year, but decisions will be made on a meeting-by-meeting basis guided by incoming data.

Federal Reserve Chairman Jerome Powell said Wednesday that policymakers need more time to assess the trajectory of inflation before considering interest rate cuts. His remarks signal the central bank’s patient approach to monetary policy in the face of stronger-than-expected inflation readings so far this year.

ICYMI: 🇺🇸 Jerome Powell stated it's still too early to consider interest rate cuts

Will this affect crypto?

— BlockNews.com (@blocknewsdotcom) April 3, 2024

Powell Emphasizes Need for More Evidence on Inflation

Speaking at a policy conference at Stanford University, Powell said it is too soon to determine whether recent inflation figures represent more than just a temporary bump. “We do not expect that it will be appropriate to lower our policy rate until we have greater confidence that inflation is moving sustainably down toward 2 percent,” he said.

The Fed chief noted that given the strength of the economy and progress on bringing down inflation to date, policymakers have the ability to let incoming data guide their decisions before taking action. “The recent data do not, however, materially change the overall picture, which continues to be one of solid growth, a strong but rebalancing labor market, and inflation moving down toward 2 percent on a sometimes bumpy path,” Powell added.

Markets Recalibrate Rate Cut Expectations

Powell’s remarks come after the Federal Open Market Committee voted at its March meeting to leave rates unchanged and emphasized in its statement the need for “greater confidence” on inflation before cutting. Markets widely anticipate rate cuts later this year but have had to adjust their expectations on the timing amid persistently high inflation readings.

Other Fed officials speaking this week, including Atlanta’s Raphael Bostic, San Francisco’s Mary Daly and Cleveland’s Loretta Mester, have echoed the central bank’s patient stance. Their comments have caused some volatility in markets as investors reprice their outlook for potential Fed rate cuts.

Powell Stresses Fed Independence

In addition to his comments on policy, Powell discussed the importance of the Fed maintaining its independence from political pressure. “Our analysis is free from any personal or political bias in service to the public,” he said.

Powell also reiterated the Fed’s limited role in addressing issues like climate change, saying “We are not, nor do we seek to be, climate policymakers.” His remarks come as the central bank faces demands from some to take a more active role in forcing banks to address climate risks.

Conclusion

Powell made clear that the Fed remains data-dependent and sees no urgency to loosen monetary policy despite inflation persisting above its 2% target. His emphasis on waiting for more evidence before rate cuts underscores the central bank’s patient approach as it monitors how quickly inflation is coming down. Markets will be watching closely for any signals from Powell and other Fed officials on when they may deem it appropriate to lower interest rates to support the economy.

Tags: Federal ReserveinflationJerome PowellMary DalyRaphael Bostic
TweetShareShare
Previous Post

Insider Trading Scandal Unfolds Around Trump’s Social Media Empire

Next Post

Ethereum Records Impressive Growth in First Quarter with Soaring Transaction Fees

DON'T MISS THESE! HOT OFF THE PRESS

VeChain Struggles to Regain Steam After December Peak
CRYPTO

VeChain Struggles to Regain Steam After December Peak

July 1, 2025
Toncoin and Telegram: The Sleeping Giant of 2025?
BITCOIN

Toncoin and Telegram: The Sleeping Giant of 2025?

July 1, 2025
Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL
BITCOIN

Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL

July 1, 2025
SEC Plans Shortcut for Crypto ETFs With New Listing Rules
CRYPTO

SEC Plans Shortcut for Crypto ETFs With New Listing Rules

July 1, 2025
Donald Trump Threatens Elon Musk with DOGE Audit
FINANCE

Donald Trump Threatens Elon Musk with DOGE Audit

July 1, 2025
Jerome Powell Says July May be Too Early for Rate Cuts, But Doesn’t Rule it Out
FINANCE

Jerome Powell Says July May be Too Early for Rate Cuts, But Doesn’t Rule it Out

July 1, 2025
Load More

Related News

VeChain Struggles to Regain Steam After December Peak

VeChain Struggles to Regain Steam After December Peak

July 1, 2025
Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

July 1, 2025
Toncoin and Telegram: The Sleeping Giant of 2025?

Toncoin and Telegram: The Sleeping Giant of 2025?

July 1, 2025
Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL

Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL

July 1, 2025
SEC Plans Shortcut for Crypto ETFs With New Listing Rules

SEC Plans Shortcut for Crypto ETFs With New Listing Rules

July 1, 2025
Twitter Telegram Threads

BLOCKNEWS.COM

BlockNews

BlockNews.com is your premier source for real-time cryptocurrency, blockchain, and financial market news.

Our mission is to deliver accurate, timely, and insightful information to help both seasoned investors and newcomers navigate the evolving digital economy.

With in-depth analysis, exclusive insights, and up-to-date news, BlockNews.com keeps you informed on the latest trends in crypto, DeFi, NFTs, tech, and beyond.

Stay ahead of the herd with BlockNews.com

RESOURCES

  • About
  • Contact Us
  • Terms and Conditions
  • Privacy Policy

POPULAR TOPICS

$ADA $XRP AI Avalanche Binance Bitcoin Bitcoin ETF blackrock Blockchain BTC Business Cardano Chainlink China Coinbase Coinglass crypto cryptocurrency Crypto Exchange Crypto Regulation DeFi Dogecoin Donald Trump Elon Musk ETF eth ethereum Federal Reserve FTX grayscale Memecoin metaverse Microstrategy NFT NFTs PEPE ripple sec Shiba Inu Solana Stablecoin Technology US Web3 xrp

GET QUICKER UPDATES ON X

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.

No Result
View All Result
  • HOME
  • CRYPTO
  • MEMECOINS
  • TECHNOLOGY
  • POLITICS
  • FINANCE
  • NFT
  • DEFI
  • GUIDES

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.