Jerome Powell warns Fed's inflation fight could spark political opposition

Federal Reserve Chairman Jerome Powell on Tuesday stressed that central bank policymakers remain committed to wrestling high inflation under control, even though the methods to do so can prove to be politically unpopular. 

Powell is going to push forward rate hikes: Danielle DiMartino Booth

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“Price stability is the bedrock of a healthy economy and provides the public with immeasurable benefits over time,” Powell said Tuesday in remarks prepared for delivery at a conference held by Sweden’s central bank. “But restoring price stability when inflation is high can require measures that are not popular in the short term as we raise interest rates to slow the economy.”

© Photo by OLIVIER DOULIERY/AFP via Getty Images
US Federal Reserve Chair Jerome Powell speaks during a news conference on interest rates, the economy and monetary policy actions, at the Federal Reserve Building in Washington, DC, June 15, 2022. – The Federal Reserve announced the most aggressive interest rate increase in nearly 30 years, raising the benchmark borrowing rate by 0.75 percentage points on June 15 as it battles against surging inflation. The Fed’s policy-setting Federal Open Market Committee reaffirmed that it remains “strongly committed to returning inflation to its 2 percent objective” and expects to continue to raise the key rate. (Photo by Olivier DOULIERY / AFP) (Photo by OLIVIER DOULIERY/AFP via Getty Images)

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