FOMC Chairman Jerome Powell comments on the policy outlook after the Federal Reserve's decision to raise the policy rate by 25 basis points to the range of 4.75-5% following the March policy meeting.
Key quotes
"Inflation has moderated somewhat but strength of recent readings indicate inflation pressures continue to run high."
"Process of getting inflation back down has a long way to go."
"Longer-term inflation expectations remain well anchored."
"We are continuing process of significantly reducing our balance sheet."
"Since last meeting, economic data has come in stronger than expected."
"But we think recent banking events will result in tighter credit conditions."
"That would impact the economy and how we need to respond."
"We will closely monitor incoming data, actual and expected effects of tighter credit conditions."
"We will use that as basis for decisions."
"Path of policy will adjust as appropriate, and we'll make decisions meeting by meeting."
"Reducing inflation is likely to require period of below trend growth and also softer labor conditions."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD strengthens to near 1.1200 as risk appetite returns
The EUR/USD pair gains ground to around 1.1195 during the Asian trading hours on Wednesday. The US Dollar weakens against the Euro after the cooler-than-expected US April inflation data. Traders await the German Harmonized Index of Consumer Prices data for April for fresh impetus, which is due later on Wednesday.
GBP/USD maintains position above 1.3300 after strong gains; focus turns to key UK, US data
GBP/USD is trading around 1.3300 during Wednesday’s Asian session, stabilizing after posting over 1% gains in the previous session. However, the pair’s upside may be capped as the British Pound faces headwinds from cooling employment and moderating wage growth in the UK.
Gold sticks to intraday bearish bias amid trade optimism; holds comfortably above $3,200
Gold price drifts lower as the US-China trade truce optimism undermines safe-haven demand. Tuesday’s US CPI print reaffirms Fed rate cut bets and keeps the USD bulls on the defensive. Geopolitical risks could limit deeper losses for the XAU/USD pair, warranting caution for bears.
Solana tops $185 as SOL pairs dominate private DEXs and meme coin trading
Solana's price is nursing minor losses, down almost 2% to trade at $180 at the time of writing on Wednesday. Over the past weeks, the meteoric rise changed the trend from bearish to bullish, reflecting strong risk-on sentiment in the broader crypto market.
US-China trade truce only emphasizes timeless investing truths
Markets roared back to life as the US and China hit pause on their escalating trade war, with both sides emphasizing mutual respect and dignity. But it wasn’t the fine print that moved markets—it was the mood shift. Investors rushed back into risk assets, betting that the worst might be behind us.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.