Federal Reserve Chairman Powell stated that goods prices are expected to continue into a new equilibrium and that the Fed remains committed to a 2% inflation goal. Powell also mentioned the expectation of goods prices decreasing less rapidly and expressed confidence in lower market rent increases in housing over time.
#Powell made sure to qualify the Fed's commitment to bringing #inflation back down to 2% by repeating that the target would be achieved "over time." However, he never clarified how much time. So if inflation eventually gets down to 2% in 20 years, the #Fed will have delivered.
POWELL: THERE'S SOME CONFIDENCE THAT LOWER MARKET RENT INCREASES IN HOUSING WILL SHOW UP OVER TIME POWELL: JUST NOT SURE WHEN THAT WILL BE *Powell: Stresses That Inflation Will Return to 2% Target 'Over Time' https://t.co/50rHlZsC0Y
POWELL: I ASSUME WE WILL CONTINUE TO SEE GOODS PRICES CONTINUE INTO A NEW EQUILIBRIUM
POWELL: THERE'S SOME CONFIDENCE THAT LOWER MARKET RENT INCREASES IN HOUSING WILL SHOW UP OVER TIME
*POWELL: EXPECT TO SEE GOODS PRICES GOING DOWN LESS QUICKLY
POWELL: EXPECT TO SEE GOODS PRICES GOING DOWN LESS QUICKLY
POWELL SAYS EXPECT TO SEE GOODS PRICES GOING DOWN LESS QUICKLY
🔴 FED'S POWELL: I ASSUME WE WILL CONTINUE TO SEE GOODS PRICES CONTINUE INTO A NEW EQUILIBRIUM.
POWELL SAYS FED REMAINS COMMITTED TO 2% INFLATION GOAL