AMSTERDAM, May 14 - Federal Reserve Chair Jerome Powell on Tuesday gave a bullish assessment of where the U.S. economy stands now, with an outlook for continued above-trend growth and confidence in falling inflation that, while eroded by recent data, remains largely intact.
"I don't think that it is likely based on the data we have that the next move that we make will be a rate hike," Powell said."It is more likely ... we hold the policy rate where it is." For now, however, investors continue to anticipate an initial rate cut in September. The Fed's benchmark policy rate has been held steady in a 5.25% to 5.5% range since July, and officials have largely dropped specific guidance on whether that might be reduced this year.
The low joblessness and rising wages seen in 2019 has been cited by Powell before as a touchstone for the Fed.