Economics
Powell Opens Door to Possible Pullback in Fed Rate-Hike Outlook
- Median could shift to two increases from three in 2019
- Fed chief says rates ‘just below’ range of neutral estimates
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Federal Reserve Chairman Jerome Powell opened the door for a potential pullback in projected interest-rate hikes for 2019 following a widely expected increase in December.
In what was seen as a shift in tone from remarks last month, Powell said Wednesday that the Fed’s series of rate increases had brought policy to “just below” the range of estimates of neutral, where it neither spurs nor restricts the economy. He also noted that the economy had yet to feel the full impact of the hikes.