Powell Cites ‘Real Progress' as Central Bankers Assess Inflation Fight

Jerome H. Powell, the chair of the Federal Reserve, stated that inflation was decreasing in the United States and that progress had been made in bringing price increases down. Powell delivered this message at the European Central Bank’s annual conference in Sintra, Portugal. The Fed has been cautious about lowering interest rates until further progress is made in controlling inflation. Powell suggested that interest rates could be lowered if inflation data stayed on the current track or if the labor market weakened. European policymakers also expressed a similar sentiment, stating that they were not in a rush to lower rates again. Both Powell and European Central Bank President Christine Lagarde emphasized the need for more data to make informed decisions about interest rates.