Central Banks

Fed’s Powell Cements Pivot But Pushes Back on Timing of Cuts

  • Powell says an interest-rate cut in March is not likely
  • FOMC needs to see more data to be convinced to move rates
WATCH: “We believe that our policy rate is likely at its peak for this tightening cycle,” Powell says.Source: Bloomberg
Lock
This article is for subscribers only.

Federal Reserve officials cemented the end of their aggressive campaign to push up interest rates, and sought to reset expectations for how soon and how fast they’ll cut this year as inflation pressures fade.

While policymakers are shifting their focus to when to start easing policy amid a favorable pullback in inflation, it’s clear they’re in no rush to lower rates. Against a backdrop of a still-solid economy, Chair Jerome Powell said officials would move patiently and doused speculation that rate cuts would start at the next meeting.