Summary
- Chairman Jerome Powell stated that he is maintaining a neutral stance regarding the forecast of two rate cuts within this year.
- He noted that while employment and layoff rates are low, there is a possibility of an increase in the unemployment rate, but it's uncertain whether this will directly influence the Fed's policy decisions.
- Chairman Powell emphasized that if inflation naturally eases, there would be no reason for interest rate increases.
In response to a reporter's question about maintaining the forecast of two interest rate cuts within this year during the press conference after the FOMC on the 19th (local time), Jerome Powell, Chairman of the Federal Reserve (Fed), said, "We have maintained a neutral stance for now, but we cannot predict how things will unfold in the future."
He continued, "Both employment and layoff rates are showing low levels. If the layoff rate rises, it is likely to lead to an increase in the unemployment rate," adding that "there are also items whose prices have risen despite not being subject to tariffs."
Furthermore, he added, "If inflation eases on its own, there is no reason to raise interest rates, and it would not be right to do so."
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
