TechFlow news, according to China News Service in Washington, Federal Reserve Chair Powell said at a congressional hearing on the 9th that high inflation is no longer the only risk facing the U.S. economy. Currently, the Fed faces persistently high inflation and a "cooling" labor market, while economic growth is also slowing.
Chair Powell noted that the Fed has made "substantial progress" in fighting inflation over the past two years but has not yet achieved its 2% inflation target. Recent inflation data show "further progress," but the Fed still needs more "favorable data."
He stated that he expects the Fed will not raise interest rates at its next meeting and will cut rates at a "appropriate time" as inflation cools. Analysts believe the Fed could lower rates at its September monetary policy meeting. The Fed's next policy meeting is scheduled for July 30–31.
