Jerome Powell: Rate cuts likely as US inflation is on track to meet target

‘Inflation moving down’

Fed chair Jerome Powell has said US inflation is on course to meet the 2% target, paving the way for rate cuts this year.

In a speech at Stanford University on Wednesday (3 April), Powell addressed the rise in consumer price inflation from 3.1% in January to 3.2% in February, saying it was too soon to tell whether the February figures were "more than just a bump". Fed officials 'highly attentive' to inflation despite recent progress He explained that February's data would not "materially change the overall picture", which he said is one of "solid growth, a strong but rebalancing labour market, and inflation moving down to 2% on a sometimes bumpy path". "We do not expect that it will be appropriate to ...