Fed Chair Powell Signals No Immediate Rate Hike Amid Neutral Range

Powell noted the Federal Reserve is at the upper end of its neutral range and will monitor economic trends, expecting long-term rates may rise with stronger growth outlooks.

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Terms & Concepts
  • Neutral range: An interest rate level considered neither expansionary nor contractionary for economic activity.
  • Long-term rates: Interest rates on financial instruments with extended maturities, often influenced by growth and inflation expectations.
  • Federal Reserve (Fed): The central banking system of the United States responsible for setting monetary policy.