Powell: Inflation Still Slightly Above Target, December Core PCE Inflation Could Rise to 3%

BlockBeats News, January 29, Federal Reserve Chairman Powell: Inflation still slightly above target. The labor market may be stabilizing after gradually softening.

December core PCE inflation may rise 3%. High inflation largely reflects the boost from tariffed goods. Long-term inflation expectations are in line with target. The policy rate is within the range of estimates of the neutral rate. In a favorable position to determine the magnitude and timing of additional rate adjustments, policy did not proceed as planned. (IG)