The US economy remains strong, and the Federal Reserve System intends to keep it that way. This was stated by the Chairman of the US central bank, Jerome Powell, during his speech at the National Association for Business Economics (NABE) annual meeting in Tennessee.
The Federal Reserve is faced with slowing down inflation without excessive unemployment.
“While the task is not yet complete, we have made significant progress in this direction,” Powell said.
According to the Federal Reserve Chairman, the Central Bank’s recent decision to cut the rate by 50 basis points (bps) at once is a sign of its confidence that if monetary policy is adjusted at an appropriate pace, the stability of the labor market, moderate economic growth, and a slowdown in inflation to 2% can be maintained.
According to the median forecast of the Fed’s policymakers, the key policy rate will be cut by another 50 bps by the end of this year from the current level of 4.75-5% per annum.