Fed Chair Powell Stresses No Rate Cuts

Fed Chair Powell Maintains No Rush on Interest Rate Cuts

• The US economy expanded at a 2.5% rate in 2024, driven by consumer spending.
• Payroll gains averaged 189,000 per month over the last four months.
• The unemployment rate stood at 4% in January.
• Core personal consumption expenditure prices rose by 2.8% over the past year.
• Total PCE prices increased by 2.6% during the same period.

Fed Chair Jerome Powell emphasized that with the US economy remaining strong and inflation easing but still above target, there is no urgency to cut interest rates from their current level of 5.25% to 5.5%, as the central bank aims to ensure inflation continues moving toward its goal.