Powell speech: Not dismissing possibility inflation will stay high for longer than expected

Following the Federal Open Market Committee's (FOMC) decision to keep the policy rate unchanged within the target range of 0-0.25%, Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, is delivering his comments on the policy outlook.

Key quotes

"There's a chance on the other side of this that inflation could be quite low."

"Our expectation is these high inflation readings we see now will start to abate."

"We don't dismiss the possibility that inflation will stay high for longer than expected, and feed into expectations."

"If see inflation expectations rise, contrary to our base case, would act to bring them down."

"Would be premature to declare victory over pandemic."

About Jerome Powell (via Federalreserve.gov)

Jerome H. Powell took office as Chairman of the Board of Governors of the Federal Reserve System on February 5, 2018, for a four-year term. Mr. Powell also serves as Chairman of the Federal Open Market Committee, the System's principal monetary policymaking body. Mr. Powell has served as a member of the Board of Governors since taking office on May 25, 2012, to fill an unexpired term. He was reappointed to the Board and sworn in on June 16, 2014, for a term ending January 31, 2028.