Finance | Powell: Inflation data shows that high interest rates may need to be maintained for longer

U.S. Federal Reserve Chairman Powell said on Tuesday (16th) that recent data showed that U.S. inflation lacked further path to fall back to the Fed’s 2% target. This means interest rates may need to remain high for longer to ensure inflation remains under control.

Inflation data analysis

According to the latest data, US inflation has fallen to 2%, which is lower than previously forecast. This indicates that economic growth may slow down and other means will be needed to stimulate economic growth.

The impact of high interest rates on the economy

High interest rates have profound effects on the economy. It can dampen consumption and investment, leading to slower economic growth. Therefore, Powell's statement means that the Fed may take further actions to stabilize the economy.

market reaction

Powell's speech attracted market attention. Investors will pay close attention to the direction of the Federal Reserve's policy in the coming months and its impact on the economy. This will have a significant impact on stock and bond markets.

economic outlook

Changes in inflation data could signal changes in the economic outlook. Investors should pay close attention to economic data in the coming months in order to adjust their portfolios in a timely manner.