Powell’s Inflation Focus Means Big Pause on Rate Hikes

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Unless there’s a marked move higher in inflation, don’t bet on a rate increase any time soon. Federal Reserve Chairman Jerome Powell said on Wednesday “we would need to see a really significant move up in inflation that’s persistent before we would consider raising rates to address inflation concerns.” The Fed’s preferred measure of underlying U.S. inflation -- which excludes food and energy -- has climbed this year but remains well below the central bank’s 2% target.

--With assistance from Christopher Condon.

To contact the reporter on this story: Sophie Caronello in Washington at scaronello@bloomberg.net

To contact the editors responsible for this story: Sophie Caronello at scaronello@bloomberg.net, Alister Bull, Nancy Moran

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