Jerome Powell Fed chairman fight against inflation will be bring hard pain to economy
Fed Chairman warmed about the high inflation, central bank take a mission to decrease the inflation rate.US householders coming out of the inflation pain.
Also Powell said inflation rate would be increase they directly effect the US economy and US job market, Its is very big challenge to Federal Reserve.
Is high interest rate, soft market condition, soft labor market, slower economy rate condition will down the US economy and pain to household and Small business.
As per central bank speech “Powell said the reducing inflation rate wouldn’t be quick easy task for the US householders.
Powell said to using our power and tools to bring to mange demand and supply to make a better balancing of lifecycle. that it not easy to use utilized the resources to maintain the demand and supply.
I interpret unemployment rate is higher here to get to that end of reducing demand. US wealth Management a weaker labor market constricts consumer demand and US household cash and anticipate the job loss and layoff actives in US market .
Our Main Job and responsible to Stabilizes in US Market, Inflation Rate and Unemployment.
Rate of interest
While Powell offer indication to back to back rate hikes .25 basis points in upcoming meeting in FED. Powell cleared message to central bank to make restrictive policy to maintain the unemployment and inflation.
Powell Said we are tightly watching the inflation rate and market condition in US market.
Powell indirectly said inflation depend on the War between Russia and Ukraine its not easy to using a power to decrease the inflation rate and unemployment
War was directly effected the central bank funds and Reserve, that was not easier to stability in US householder. upcoming 2025 may be rate will hike 1.00 basis point.