Powell Pushes Back Against Possibility of Negative Fed Rates

Federal Reserve Chairman Jerome Powell pushed back against the prospect the central bank would deploy negative interest rates in the U.S., though he didn’t fully rule out the option as a potential tool in the future.

“The evidence on negative rates is mixed,” Powell said Wednesday in answer to a moderator’s question after giving a speech via video. He noted Fed officials had debated whether to follow other central banks in that direction and opted to use other tools and said “for now it’s not something we’re considering.”