Fed Chair Powell says central bank doesn't 'need to be in a hurry' to lower interest rates further
Published On Feb 11, 2025, 10:00 AM
Fed Chair Jerome Powell stated that the Federal Reserve is not in a rush to lower interest rates and remains committed to controlling inflation. He emphasized that the economy is strong and the labor market is solid, but inflation is still above the Fed's target. Powell's comments suggest that interest rates may remain stable for the foreseeable future, acknowledging the need for a careful approach in monetary policy to avoid hindering economic progress.
Stock Forecasts
XLF
Positive
The Fed's commitment to stable rates amid a strong economy suggests that interest rate sensitive sectors could see continued performance. However, investors may anticipate volatility given the uncertainty in inflation and policy adjustments.
SPY
Negative
The broader market may face pressure if interest rates remain high for an extended period. Sectors that rely on lower borrowing costs could struggle unless there are significant adjustments in the economic environment.
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