Powell

US Federal Reserve Chair Jerome Powell told the Senate Banking Committee in Washington that economic data was stronger than expected. PHOTO: AFP. Updated.

That monetary tightening has driven up borrowing costs for home mortgages, a topic of particular sensitivity for elected officials, contributed to volatility in traditional equity markets as well as alternative assets like cryptocurrencies, and sparked some broader debates about the Fed’s efficacy. In a comment that may well be seized on by some Senate Democrats, Mr Powell suggested that the labour market might have to weaken for inflation to fall across the broad services sector, a labour-intensive part of the economy where prices continue to rise. In his testimony, Mr Powell noted that much of the impact of the central bank’s monetary policy may still be in the pipeline, with the labour market still sustaining a 3.4 per cent unemployment rate not seen since 1969, and strong wage gains. Although inflation “has been moderating”, since its peak last year, Mr Powell said, “the process of getting inflation back down to 2 per cent has a long way to go and is likely to be bumpy”. “If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes,” Mr Powell said. “The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated,” Mr Powell said in prepared remarks for a hearing before the Senate Banking Committee.

High-stakes testimony before Senate committee comes as central bank struggles to cool US economy.

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WASHINGTON, March 7 (Reuters) - The Federal Reserve will likely need to raise interest rates more than expected in response to recent strong data and is ...

While Powell said he thought the Fed's 2% inflation target could still be met without dealing a major blow to the U.S. Powell's remarks, indicating strongly that Fed officials will project a higher endpoint for the central bank's benchmark overnight interest rate at the upcoming March 21-22 meeting, sparked a quick repricing in bond markets as investors boosted bets to more than 70% that the Fed would approve a half-percentage-point rate hike at that meeting. The more we help on the fiscal side the fewer people you will have to throw out of work," said Senator John Kennedy, a Republican from Louisiana. The Fed's policy rate is currently in the 4.50%-4.75% range. Powell's statement was "surprisingly hawkish," said Michael Brown, a market analyst with TraderX in London. Inflation has fallen since Powell's last appearances before Congress. "The process of getting inflation back down to 2% has a long way to go and is likely to be bumpy," Powell said, adding later in the hearing that "the social costs of failure are very, very high." central bank chief said in a hearing before the Senate Banking Committee. Equity markets fell and the U.S. The hearing and Powell's testimony honed in on an issue that is now at the center of the Fed's discussions as officials try to determine whether recent data will prove to be a "blip," or end up signaling that inflation remains stickier than thought and warrants a tougher response from the Fed. "If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes," Powell said. "The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated," the U.S.

In light of recent strong data, Jerome H. Powell said that the Federal Reserve is likely to raise rates higher than expected.

“I would explain to people, more broadly, that inflation is extremely high, and that it is hurting the working people of this nation badly,” Mr. “We are taking the only measures that we have to bring inflation down.” Powell responded that the central bank is doing what policymakers believe is necessary. “Indeed, it suggests that we still have work to do.” “The process of getting inflation back down to 2 percent has a long way to go and is likely to be bumpy,” Mr. Still, he underlined that “there is little sign of disinflation thus far” in services outside of housing, which includes purchases ranging from restaurant meals to travel and manicures. It is also seen as a precursor to the economy slipping into a downturn When this measure of the so-called yield curve inverts it suggests that investors are more worried about the economy in the short term and want to earn higher returns for investing in U.S. And consumers who are earning more may have more ability to sustain their spending, keeping demand strong enough to allow price increases to persist. “The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated.” That initially seemed to be slowing consumer and business demand and helping inflation to moderate. After he delivered his opening testimony, investors increasingly bet that the central bank would make a half point move and stock prices lurched lower.

THE US dollar climbed on Tuesday (Mar 7) ahead of testimony before Congress by Federal Reserve (Fed) chair Jerome Powell, and gaining most dramatically ...

Chairman Brown, Ranking Member Scott, and other members of the Committee, I appreciate the opportunity to present the Federal Reserve's semiannual Monetary ...

As I mentioned, the latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated. Although inflation has been moderating in recent months, the process of getting inflation back down to 2 percent has a long way to go and is likely to be bumpy. Our overarching focus is using our tools to bring inflation back down to our 2 percent goal and to keep longer-term inflation expectations well anchored. Everything we do is in service to our public mission. With inflation well above our longer-run goal of 2 percent and with the labor market remaining extremely tight, the FOMC has continued to tighten the stance of monetary policy, raising interest rates by 4-1/2 percentage points over the past year. If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes. It will take time, however, for the full effects of monetary restraint to be realized, especially on inflation. To restore price stability, we will need to see lower inflation in this sector, and there will very likely be some softening in labor market conditions. The data from January on employment, consumer spending, manufacturing production, and inflation have partly reversed the softening trends that we had seen in the data just a month ago. And while housing services inflation remains too high, the flattening out in rents evident in recently signed leases points to a deceleration in this component of inflation over the year ahead. My colleagues and I are acutely aware that high inflation is causing significant hardship, and we are strongly committed to returning inflation to our 2 percent goal. From a broader perspective, inflation has moderated somewhat since the middle of last year but remains well above the FOMC's longer-run objective of 2 percent.

In a semiannual report to Congress beginning Tuesday at 10 a.m., Federal Reserve Chair Jerome Powell struck a more hawkish tune than expected, ...

Elizabeth Warren asked during the hearing Tuesday, questioning the Fed’s view that a higher unemployment rate is a necessary condition to bring down inflation. They now expect the central bank will raise rates to a top level of 5.5%, which would mark the highest level since the turn of the millennium. The Fed last hiked rates by 25 basis points. Stocks slid soon after Powell took the stand and added to losses as the session continued, with the Dow Jones Industrial Average falling 530 points, or 1.5%, by 1:45 p.m. It's unclear when the Fed will stop raising rates, but analysts at Goldman Sachs and Bank of America added another rate hike to their forecasts after a hotter-than-expected inflation reading last month. “We will stay the course until the job is done,” Powell said in prepared remarks, saying the Fed is willing to maintain a “faster” pace of rate hikes than previously expected.

Federal Reserve Chairman Jerome Powell will address the Senate Banking, Housing and Urban Affairs Committee on Tuesday morning.

While inflation data started to drift down towards the end of 2022, January indicated that prices rose briskly and could pose a threat ahead. Officials have raised their benchmark interest rate eight times over the past year, taking the fed funds rate to a target range of 4.50%-4.75%. Please refresh the page if you do not see a player above at that time.] [Fed's Powell heads to Capitol Hill this week, and he's going to have his hands full](https://www.cnbc.com/2023/03/06/fed-chair-powell-heads-to-capitol-hill-and-hes-got-his-hands-full.html) [A year after the first rate hike, the Fed still has a long way to go in the fight against inflation](https://www.cnbc.com/2023/03/01/a-year-later-the-fed-still-has-a-long-way-to-go-in-the-fight-against-inflation.html) [Fed can't tame inflation without 'significantly' more hikes, causing a recession, paper says](https://www.cnbc.com/2023/02/24/the-fed-cant-tame-inflation-without-more-hikes-paper-says.html) [Subscribe to CNBC on YouTube.](https://www.youtube.com/c/CNBC?sub_confirmation=1) [The stream is slated to start at 10 a.m. Watch Fed Chair Jerome Powell speak live on Capitol Hill about interest rates and the economy

Powell's commentary comes as Wall Street ponders how high the central bank will raise interest rates to rein in inflation (and drag down stock prices).

Elizabeth Warren asked during the hearing Tuesday, questioning the Fed’s view that a higher unemployment rate is a necessary condition to bring down inflation. They now expect the central bank will raise rates to a top level of 5.5%, which would mark the highest level since the turn of the millennium. The Fed last hiked rates by 25 basis points. It's unclear when the Fed will stop raising rates, but analysts at Goldman Sachs and Bank of America added another rate hike to their forecasts after a hotter-than-expected inflation reading last month. “We will stay the course until the job is done,” Powell said in prepared remarks, saying the Fed is willing to maintain a “faster” pace of rate hikes than previously expected. [testimony](https://www.banking.senate.gov/hearings/02/28/2023/the-semiannual-monetary-policy-report-to-the-congress) to the Senate’s banking, housing and urban affairs committee was more hawkish than expected, as the central bank head honcho defended the Fed’s decision to hike interest rates to a 16-year high in order to combat inflation — and said more aggressive monetary policy is on the table.

Fed chair Jerome Powell said more rate hikes are needed to douse a recent trend of firm inflation and hot job growth, hitting the S&P 500.

[pricing in just over 50% odds](https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html?redirect=/trading/interest-rates/countdown-to-fomc.html) that the Fed will hike its key rate to a range of 5.5% to 5.75% by the Sept. First, Fed officials believe the costs of not hiking enough, which could lead inflation to become entrenched, are much greater than the costs of hiking too much. Plus, odds of a 50-basis-point hike on March 22 spiked to 48% from 30% before Powell's testimony. Up until now, the S&P 500 has largely held its ground over the past few weeks despite hot economic data and rising Treasury yields. As a result, "the ultimate level of interest rates is likely to be higher than previously anticipated." That implied two extra hikes compared to the Fed's latest projections. Chair Powell's hawkish testimony indicates that officials could pencil in a couple of extra rate hikes in coming months. Federal Reserve chair Jerome Powell told the Senate banking panel on Tuesday that extra rate hikes will be needed to douse the recent trend of firming inflation and persistently strong job growth. Chair Powell notably didn't take a half-point hike off the table for the upcoming meeting. Since the Feb. Ahead of Powell's testimony, markets were "If the totality of the data" warrant, Powell said, the Fed is "prepared to increase the pace of rate hikes."

U.S. stock indexes closed sharply lower on Tuesday after Federal Reserve Chair Jerome Powell told Congress the central bank will likely need to raise ...

Declining least was the consumer staples index [(.SPLRCS)](https://www.reuters.com/quote/.SPLRCS), down 0.97%. Data influencing the Fed's rate hiking path will include Friday's closely watched nonfarm payroll additions for February. "From a risk-rewards standpoint investors have to recalculate their desire to be invested with this new paradigm," said Adam Sarhan, chief executive of 50 Park Investments, based in Orlando, Florida. [(.DJI)](https://www.reuters.com/quote/.DJI) fell 574.98 points, or 1.72%, to 32,856.46; the S&P 500 [(.SPX)](https://www.reuters.com/quote/.SPX) lost 62.05 points, or 1.53%, at 3,986.37; and the Nasdaq Composite [(.IXIC)](https://www.reuters.com/quote/.IXIC) dropped 145.40 points, or 1.25%, to 11,530.33. [(RIVN.O)](https://www.reuters.com/companies/RIVN.O) after the electric automaker [unveiled](/markets/rates-bonds/rivian-plans-sell-13-bln-bonds-shore-up-capital-shares-fall-2023-03-07/) plans to sell bonds worth $1.3 billion. [(TSLA.O)](https://www.reuters.com/companies/TSLA.O) closed down 3%, failing to get a lift after CEO Elon Musk told an [investor conference](/technology/teslas-next-generation-smaller-car-operate-mostly-autonomously-musk-2023-03-07/) he saw a clear path to producing a smaller vehicle at half the production cost of the Model 3. [(.DJI)](https://www.reuters.com/quote/.DJI) lost most ground with a 1.7% decline, while the S&P 500 [(.SPX)](https://www.reuters.com/quote/.SPX) fell 1.5% and the Nasdaq Composite [(.IXIC)](https://www.reuters.com/quote/.IXIC) lost almost 1.3%. [(DKS.N)](https://www.reuters.com/companies/DKS.N) rallied 11% after the retailer forecast annual earnings above Wall Street estimates and more than doubled its quarterly dividend. [The Thomson Reuters Trust Principles.](https://www.thomsonreuters.com/en/about-us/trust-principles.html) [(.SPSY)](https://www.reuters.com/quote/.SPSY) which finished down 2.5%. [inflation target](/markets/us/feds-powell-again-rejects-idea-raising-inflation-target-2023-03-07/) and the job market does not suggest an economic downturn is close. [told](/markets/us/feds-powell-hill-appearance-update-views-status-disinflation-2023-03-07/) U.S.

THE Federal Reserve (Fed) will likely need to raise interest rates more than expected in response to recent strong data and is prepared to move in larger ...

US economists see higher odds that the Federal Reserve could re-accelerate the scale of its rate increases this month after Chair Jerome Powell spoke before ...

Federal Reserve Chair Jerome Powell struck a more hawkish tune than expected during his semiannual report to Congress on Tuesday, saying the central bank ...

Elizabeth Warren asked during the hearing Tuesday, questioning the Fed’s view that a higher unemployment rate is a necessary condition to bring down inflation. They now expect the central bank will raise rates to a top level of 5.5%, which would mark the highest level since the turn of the millennium. The Fed last hiked rates by 25 basis points. It's unclear when the Fed will stop raising rates, but analysts at Goldman Sachs and Bank of America added another rate hike to their forecasts after a hotter-than-expected inflation reading last month. “We will stay the course until the job is done,” Powell said in prepared remarks, saying the Fed is willing to maintain a “faster” pace of rate hikes than previously expected. [testimony](https://www.banking.senate.gov/hearings/02/28/2023/the-semiannual-monetary-policy-report-to-the-congress) to the Senate’s banking, housing and urban affairs committee was more hawkish than expected, as the central bank head honcho defended the Fed’s decision to hike interest rates to a 16-year high in order to combat inflation — and said more aggressive monetary policy is on the table.

Speaking before the Senate Banking Committee, Powell warned the central bank may have to raise interest rates even more, sending stock markets sharply ...

That's the only way out," Powell said. Republicans are demanding the government rein in spending as a condition to raise the debt ceiling. "We do not seek to play a role in these policy issues," he said. The Fed's benchmark rate is currently 4.50 to 4.75%. The U.S. But he added that Fed policymakers may have to raise interest rates more aggressively at their next meeting in two weeks if upcoming data shows similar strength.

Jerome Powell struck a hawkish tone in congressional testimony on March 7 stating that there is "more work to do." Markets now see short-term rates ...

We’ll learn more with the upcoming [CPI numbers for February on March 14](https://www.forbes.com/sites/simonmoore/2023/03/01/what-to-look-for-in-the-february-consumer-price-inflation-numbers/?sh=3a17fbaa36c7) ahead of the Fed’s next interest rate decision on March 22. [upcoming Fed meetings](https://www.forbes.com/sites/simonmoore/2023/03/04/heres-the-schedule-of-the-feds-upcoming-meetings-and-what-to-expect/?sh=1f4560e95573), based on current data, the Fed will continue to raise rates and will continue to hold rates at high levels for many months. That frees up the Fed’s policy actions to fight inflation. Specifically, Powell stated that, “the ultimate level of interest rates is likely to be higher than previously anticipated. There is some chance, in the view of fixed income markets, that rates now approach 6% by the summer. Powell told the Senate Banking Committee that there is “more work to do” as inflation is running higher than the Fed expected at its last meeting.

Asian shares were on track for their worst day in a month on Wednesday after hawkish comments from Federal Reserve Chair Jerome Powell raised the ...

The dollar rose as high as 0.54% against the yen to touch 137.90, its highest since Dec. The euro slipped 0.11% to $1.0536, pinned near its two-month low. The dollar index , which measures the U.S. [(.MIAPJ0000PUS)](https://www.reuters.com/quote/.MIAPJ0000PUS) was 1.69% lower at 514.71, with the downbeat mood set to spill over to Europe as futures indicate a lower open. Citi strategists said even as-expected payrolls and inflation data could keep the chance of a 50 basis point hike high. Treasury yield curve measuring the gap between yields on two- and 10-year Treasury notes , seen as an indicator of economic expectations, was at -107.3 basis points, its deepest since August 1981, according to Refinitiv data. A closely watched part of the U.S. Shorter-term Treasury yields continued its ascent on Wednesday, with the two-year U.S. Hong Kong's Hang Seng Index [(.HSI)](https://www.reuters.com/quote/.HSI) fell 2.65%, on course for its worst day since late January. economy started 2023 on a much stronger footing than most had anticipated. In the currency market, the dollar continued its charge, touching three month high. Register for free to Reuters and know the full story

GOLD prices slipped to a one-week low on Wednesday (Mar 8) after US Federal Reserve Chair Jerome Powell said interest rates might need to go higher than ...

Chinese tech giants led shares of Asian peers lower after hawkish comments from the Federal Reserve stoked concerns for the rate-sensitive sector.

Federal Reserve Chair Jerome Powell said interest rates are likely to be higher and raised faster than previously anticipated. Markets fell on the news.

All three major indexes fell as [Treasury yields jumped](https://www.cnbc.com/2023/03/07/us-treasury-yields-investors-anticipate-fed-chair-powells-remarks.html). "I do not think the Fed goes 50 bps at any of the remaining rate hike meetings at this point after already slowing the pace and will continue on with 25 bps until it finally stops," wrote Peter Boockvar of Bleakley Financial Group — though he admitted he could only come to this calm conclusion after taking an Advil. His exact words: "The latest economic data have come in stronger than expected, which suggests that the ultimate level of interest rates is likely to be higher than previously anticipated … The Dow Jones Industrial Average shed 1.72%, the S&P 500 dropped 1.53% and the Nasdaq Composite lost 1.25%. There's no need to speculate anymore — in the first of his Congressional hearings, Powell said outright that the Fed might raise interest rates higher and faster than officials had projected last year. The yield on four notes — the 3-month, 6-month, 1-year and 2-year — breached 5%. The bottom line Berkshire now owns 200.2 million shares of the company, worth $12.2 billion. [sold off sharply](https://www.cnbc.com/2023/03/06/stock-market-today-live-updates.html)on Tuesday after Powell's hawkish comments. [here](https://www.cnbc.com/sign-up-for-cnbc-newsletters/). You can subscribe Like what you see?

European shares fell on Wednesday after Federal Reserve Chair Jerome Powell signalled more aggressive rate hikes were in the offing, while the chemicals ...

[(TCFP.PA)](https://www.reuters.com/companies/TCFP.PA) fell 3.3% after the French defence electronics company projected [2023 free-cash-flow](/markets/europe/frances-thales-sees-robust-demand-after-core-profit-growth-2022-2023-03-08/) below consensus estimates. [(.SX86P)](https://www.reuters.com/quote/.SX86P) also fell 1.2%. [(.GDAXI)](https://www.reuters.com/quote/.GDAXI) afloat and limiting the STOXX 600's losses, Continental shares [(CONG.DE)](https://www.reuters.com/companies/CONG.DE) jumped 4.5% after the auto supplier forecast [higher margins](/business/continental-net-income-drops-95-2022-sees-higher-margins-this-year-2023-03-08/) this year. [(SY1G.DE)](https://www.reuters.com/companies/SY1G.DE) fell 4% while Switzerland's Givaudan [(GIVN.S)](https://www.reuters.com/companies/GIVN.S) shed 3.6%, dragging the European chemicals sector [(.SX4P)](https://www.reuters.com/quote/.SX4P) down 1.4% to its lowest in nearly two months. [(FPEn.DE)](https://www.reuters.com/companies/FPEn.DE), which fell 5% on a downbeat 2023 profit forecast. [The Thomson Reuters Trust Principles.](https://www.thomsonreuters.com/en/about-us/trust-principles.html) [industrial production](/markets/europe/german-industrial-output-rises-more-than-expected-january-2023-03-08/) rose significantly more than expected in January. [(ADSGn.DE)](https://www.reuters.com/companies/ADSGn.DE) fell nearly 2.3% after the German sportswear maker said it planned to [slash its 2022 dividend](/markets/europe/adidas-slash-dividend-070-euros-per-share-after-kanye-west-split-2023-03-08/), warning of a hit from its split with rapper and fashion designer Kanye West. [(.STOXX)](https://www.reuters.com/quote/.STOXX) was down 0.2% by 9:29 GMT, hitting its lowest level in a week. [antitrust agency](/markets/europe/swiss-antitrust-agency-names-4-firms-fragrances-cartel-probe-2023-03-08/) on Wednesday named the two firms among companies being investigated for forming an alleged fragrance cartel that is also the target of other European watchdogs as well as the United States. [hearing](/markets/us/feds-powell-hill-appearance-update-views-status-disinflation-2023-03-07/) before the Senate Banking Committee that the central bank might need to raise interest rates more than expected and was prepared to move in larger steps to temper inflation. March 8 (Reuters) - European shares fell on Wednesday after Federal Reserve Chair Jerome Powell signalled more aggressive rate hikes were in the offing, while the chemicals sector led declines on news of a Swiss antitrust probe into key fragrance companies.

Federal Reserve Chair Jerome Powell on Tuesday foreshadowed key elements of the central bank's upcoming rate-setting meeting: A half-point increase is on ...

The Fed's rate hikes are designed to slow demand and spending by consumers and businesses. Analysts will be particularly focused on the strength of services not tied to housing, which accounts for a little more than half of the inflation index. The survey will next publish on the Friday before the Fed meeting, and could again prove key. Powell said Tuesday the labor market has to soften if inflation is to recede. The Bureau of Labor Statistics' consumer price index, the most widely followed gauge of U.S. He is set to testify to the House of Representatives Financial Services Committee on Wednesday. Powell and his colleagues are watching those closely, along with market-based indications of expectations. That's far above the 3.5% wage growth that Fed policymakers often point to as being consistent with their 2% inflation goal. Consumer spending makes up two-thirds of the U.S. 1, has surprised consistently to the upside, suggesting the 4.5 percentage points of rate hikes since March 2022 have yet to sufficiently slow the economy to beat back inflation. The U.S. "It's hard to make a case that we've over-tightened.

Jerome Powell, Chairman of the Federal Reserve System, will testify on March 7 in the US Congress, in front of the Senate Committe on Banking, Housing.

Gold price has lost its traction and retreated to $1,810 area after having recovered toward $1,820 earlier in the session. The monthly ADP report showed that employment in the US private sector rose by 242K in February but this data failed to trigger a reaction. GBP/USD stays on the back foot and trades below 1.0850 on Wednesday. The author makes no representations as to the accuracy, completeness, or suitability of this information. The author has not received compensation for writing this article, other than from FXStreet. The author will not be held responsible for information that is found at the end of links posted on this page. [news feed](https://www.fxstreet.com/news) for the latest on FOMC Chairman Powell's testimony and the market reaction. It also does not guarantee that this information is of a timely nature. It is the second day that Powell addresses the US Congress after delivering a notably hawkish testimony on Tuesday in front of the US Senate Committee on Banking, Housing, and Urban Affairs. [US Dollar Index](https://www.fxstreet.com/currencies/us-dollar-index) (DXY) reaching year-to-date highs close to 106. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. There, Powell mentioned that the [Fed is “prepared to increase the pace of interest rate hikes”](https://www.fxstreet.com/news/powell-speech-prepared-to-increase-pace-of-rate-hikes-202303071501) to help inflation return to the 2% target.

THE US dollar scaled multi-month highs against most other major currencies on Wednesday (Mar 8), after Federal Reserve (Fed) chair Jerome Powell warned that ...

A look at the day ahead in U.S. and global markets from Mike DolanIt's hard to overstate the market impact of Tuesday's hawkish congressional testimony from ...

* U.S. Feb ADP private sector payrolls report, Jan U.S. Fed releases 'Beige Book' of current economic conditions Richmond Fed President Thomas Barkin speaks. While Powell said he thought the Fed's 2 per cent inflation target could still be met without dealing a major blow to the U.S. And the Bank of Canada is expected to confirm on Wednesday its previously flagged intention to do likewise. The DXY dollar index hit its highest level since early December last year. And while 2-year yields raced higher, 10-year Treasury equivalents barely budged ahead of Wednesday's latest auction. Graphic: U.S. And two-year Treasury yields topped 5 per cent for the first time in 15 years. The market's implied terminal rate has moved to 5.65 per cent sometime between July and September - some 70 basis points above what was assumed as recently as Feb. "But we're dealing with one month of data and people need to sit back and take a breath."

Wall Street futures are mostly flat a day after Federal Reserve Chair Jerome Powell told a Senate panel that interest rate hikes may increase in size if the ...

For the moment, the economy still looks resilient despite the hikes to interest rates the Fed has already thrown at it. The question is how long a strong job market and spending by U.S. Based on where traders are betting yields will be in the future, it appears the market is implying inflation will continue to run hot, the Fed will quickly ramp up rates and then will reduce them only gradually afterward, according to Jonathan Golub, chief U.S. It was a reversal from a rally at the start of the year, born from hope that inflation would continue to cool and get the Federal Reserve to take it easier on interest rates. He also said the bond market appears to be signaling a recession could begin in August 2025. Instead, Wall Street got a pivot in the opposite direction it was hoping. But yields on shorter-term Treasurys still remain far above those for Treasury maturing many more years in the future. Such hikes can ease inflation by slowing the economy, but they also hit prices for stocks and other investments and raise the risk of a recession in the future. It could offer a sneak peek of what the U.S. They eased a bit Wednesday, giving the stock market some breathing space. Strong wage gains are good for workers struggling to keep up with high inflation, but too-high growth could cause a vicious cycle that only pushes inflation higher, the Fed worries. At the same time, a report will show how many job openings were advertised across the country in January.

(Bloomberg) -- Global markets steadied on Wednesday, after a selloff triggered by Federal Reserve Chair Jerome Powell's hawkish comments.

The dollar dipped modestly from three-month highs reached earlier on Wednesday as investors adjusted for the prospect of higher rates for longer after ...

NZ Dollar/Dollar The greenback was last up 0.34% against the Canadian currency at $1.3799 Canadian dollars. Sterling gained 0.09% to $1.1840, after earlier falling to $1.1805, the lowest since Nov. The dollar rose 0.09% to 137.28 yen , after earlier reaching 137.90, the highest since Dec. [increased by 242,000 jobs](/world/us/us-private-payrolls-increase-february-adp-2023-03-08/) last month. 1 but remains well below a 20-year high of 114.78 reached on Sept. It is up from a nine-month low of 100.80 on Feb. The dollar index was last unchanged on the day against a basket of currencies at 105.63, after earlier reaching 105.88, the highest since Dec. The dollar has jumped since data on Feb. It is expected to show that prices rose by 0.4% in February. That prompted traders to reprice their rate expectations. "Not much from Powell has changed the stronger trajectory for the dollar," said Joe Manimbo, senior market analyst at Convera in Washington.

European equities recouped most of their early losses by mid session on Wednesday as investors weighed the impact of comments from the Federal Reserve that ...

For cost savings, you can change your plan at any time online in the “Settings & Account” section. Compare Standard and Premium Digital For a full comparison of Standard and Premium Digital,

U.S. stock indexes struggled for direction on Wednesday as investors worried about a potential recession, a day after comments from Federal Reserve Chair ...

[told](/markets/us/feds-powell-hill-appearance-update-views-status-disinflation-2023-03-07/) U.S. auto safety regulator [said](/business/autos-transportation/us-agency-opens-probe-into-120000-tesla-model-y-vehicles-2023-03-08/) it was opening a preliminary investigation into 120,000 Model Y 2023 vehicles following reports about steering wheels falling off while driving. job openings increased to 10.5 million in January after an unexpected rise to 11 million in the previous month. A closely watched part of the U.S. [(OXY.N)](https://www.reuters.com/companies/OXY.N) gained 3.4% after Warren Buffett's Berkshire Hathaway Inc [(BRKa.N)](https://www.reuters.com/companies/BRKa.N) [increased](/markets/deals/berkshire-hathaway-resumes-occidental-purchases-stake-reaches-222-2023-03-08/) its stake in the oil company to about 22.2%. Traders currently see the Fed funds rate peaking at 5.66% by September. "Unless we get some data over the course of the next two weeks, we really don't know which way we should be landing. [(TSLA.O)](https://www.reuters.com/companies/TSLA.O) slid 2.6% after U.S. [(.DJI)](https://www.reuters.com/quote/.DJI) was down 7.11 points, or 0.02%, at 32,849.35, the S&P 500 [(.SPX)](https://www.reuters.com/quote/.SPX) was down 1.51 points, or 0.04%, at 3,984.86, and the Nasdaq Composite [(.IXIC)](https://www.reuters.com/quote/.IXIC) was up 5.46 points, or 0.05%, at 11,535.80. ET is likely to show U.S. lawmakers on Tuesday the Fed would likely need to raise interest rates more than expected as it seeks to tame inflation, sending key U.S. [showed](/world/us/us-private-payrolls-increase-february-adp-2023-03-08/) U.S.

[The stream is slated to start at 10 a.m. ET. Please refresh the page if you do not see a player above at that time.] Federal Reserve Chairman Jerome Powell ...

Please refresh the page if you do not see a player above at that time.] [A year after the first rate hike, the Fed still has a long way to go in the fight against inflation](https://www.cnbc.com/2023/03/01/a-year-later-the-fed-still-has-a-long-way-to-go-in-the-fight-against-inflation.html) [Fed's Mester says she has hope that inflation can be brought down without a recession](https://www.cnbc.com/2023/02/24/feds-mester-says-she-has-hope-that-inflation-can-be-brought-down-without-a-recession.html) [Fed's James Bullard pushes for faster rate hikes, sees 'good shot' at beating inflation](https://www.cnbc.com/2023/02/22/feds-james-bullard-pushes-for-faster-rate-hikes-sees-good-shot-at-beating-inflation.html) [The stream is slated to start at 10 a.m.

Federal Reserve Chair Jerome Powell repeated his warning that officials will speed up their pace of interest-rate increases if necessary to defeat high ...

One day after Federal Reserve Chair Jerome Powell caught investors off guard by striking a more hawkish tone than expected, the central banker is set to ...

If raised to 6%, rates would hit the highest level in more than 20 years. added about 225,000 jobs—down from a staggering reading of 517,000 in January. That’s how high the Fed’s Federal Open Market Committee has raised rates, as of its last meeting in February. The increases, which work to slow inflation by tempering consumer demand, have already sparked downturns in the housing and stock markets, and a growing number of experts [worry](https://www.forbes.com/sites/jonathanponciano/2022/11/02/fed-chair-jerome-powell-haunted-by-the-ghost-of-paul-volcker-could-tank-the-economy/) the turmoil could ultimately spark a deep global recession. [repeatedly](https://www.forbes.com/sites/jonathanponciano/2023/02/14/inflation-spiked-64-in-january-worse-than-economists-expected-as-rent-food-and-gas-prices-keep-rising/) high inflation data. One day after Federal Reserve Chair Jerome Powell caught investors off guard by striking a more hawkish tone than expected, the central banker is set to give the U.S.

Federal Reserve Chair Jerome Powell stressed that policymakers had not yet made up their minds on the size of their interest-rate increase later this month ...

European markets closed slightly higher Wednesday as U.S. Federal Reserve Chairman Jerome Powell indicated interest rates may need to go higher for longer.

The sharp move higher followed Fed Chairman [Jerome Powell](https://www.cnbc.com/jay-powell/), who said interest rates are ["likely to be higher" than previously anticipated.](https://www.cnbc.com/2023/03/07/fed-chair-powell-says-interest-rates-are-likely-to-be-higher-than-previously-anticipated.html) stock markets](https://www.cnbc.com/2023/03/07/stock-market-today-live-updates.html) were on course to open flat. stocks](https://www.cnbc.com/2023/03/07/stock-market-today-live-updates.html) were lower in early trade, while [in Asia-Pacific markets](https://www.cnbc.com/2023/03/08/asia-pacific-markets-fed-rate-hikes-rba.html), Hong Kong shares dropped more than 2%. Treasury note](https://www.cnbc.com/2023/03/07/us-treasury-yields-investors-anticipate-fed-chair-powells-remarks.html) jumped over 12 basis points to top 5% on Tuesday, reaching its highest level since 2007. [continue to speak](https://www.cnbc.com/2023/03/08/watch-fed-chair-jerome-powell-speak-live-in-second-day-of-capitol-hill-testimony.html) before the House Financial Services Committee. [ spoke ](https://www.cnbc.com/2023/03/07/fed-chair-powell-says-interest-rates-are-likely-to-be-higher-than-previously-anticipated.html)before the Senate Banking, Housing and Urban Affairs Committee on Tuesday and cautioned lawmakers that the central bank's terminal rate will likely be higher than previously anticipated because of stubbornly high economic data in recent weeks. All we need is the 2-year Treasury." Investors are anticipating the February jobs report this week to see whether the economy is continuing to heat up, or if January's blockbuster report was an aberration. The Fed's last hike was just a quarter point as it slowed the pace. Many wanted the Fed to stop hiking soon. [Stoxx 600](/quotes/.STOXX/) index was 0.05% lower at 2:15 p.m. [Stoxx 600](/quotes/.STOXX/) index provisionally closed up 0.12%, with sectors and major bourses pointing in opposite directions.

Asian shares were on track for their worst day in a month on Wednesday after hawkish comments from Federal Reserve Chair Jerome Powell raised the ...

Dive Brief: Investors on Wednesday set 78% odds that the Federal Reserve will raise the federal funds rate by a half percentage point at the end of a two ...

It is scheduled on March 14 to release data on the Consumer Price Index for February. [core personal consumption expenditures price index](https://www.bea.gov/news/2023/personal-income-and-outlays-january-2023) excluding food and energy — rose to an annual rate of 4.7% in January from 4.6% in December. His written testimony was identical to comments made to the Senate Banking Committee on Tuesday. 2 slowed the most aggressive increase in borrowing costs in 40 years by raising the main interest rate by a quarter percentage point to a range between 4.5% to 4.75%. Policymakers increased the rate by a half point in December and by four consecutive 0.75-percentage-point hikes in prior meetings. - Most Fed officials forecast in December that they would raise the main interest rate this year to between 5% and 5.5%.

February reports on hiring, inflation will guide rate decision, central bank chair says in testimony.

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The market is quickly getting to grips with a new Jerome Powell. The chair of the U.S. Federal Reserve signaled on Tuesday that not only are interest rate ...

Futures contracts for the Fed’s benchmark interest rate priced in a half-point increase for the central bank’s March 22 meeting, according to CME’s FedWatch tool. He repeated the comment to the House Financial Services Committee, adding that the Fed hasn't yet reached a decision on its next rate increase. The chair of the U.S. As markets get used to a more forceful Fed chair, the pivot may have been a step too far. The futures market now expects the Fed to lift rates by 50 basis points later this month, according to the [CME FedWatch tool](https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html), double the size of the prior month’s increase. [prepared to raise rates](/markets/us/feds-powell-hill-appearance-update-views-status-disinflation-2023-03-07/), potentially aggressively, should the economy continue to run hot.

GOLD prices edged higher on Thursday (Mar 9) as the dollar eased, although US Federal Reserve chair Jerome Powell's hawkish remarks limited further gains in ...

Jerome H. Powell, the chair of the Federal Reserve, used his testimony before lawmakers this week to lay out a more aggressive path ahead for American ...

“No one should assume that the Fed can protect the economy from the nonpayment of the government’s bills, let alone a debt default or something of that nature.” “Inflation is extremely high, and that it is hurting the working people of this nation badly,” he said. At that point, Congress will need to suspend or increase the debt limit to avoid a default. He emphasized that this business cycle was very different from previous ones — the pandemic has muddled everything — and that the job market might be able to slow significantly without leading to widespread layoffs. Powell refused to say the Fed wanted to engineer higher joblessness. “If the totality of the data were to indicate that faster tightening is warranted, we would be prepared to increase the pace of rate hikes,” Mr. That slows wage growth, and the Fed It then slowed to a half-point in December and to a more traditional quarter-point increase in February. They are now trying to keep their options open as they await additional data that could provide more clarity. It is typically expressed as the annual change in prices for everyday goods and services such as food, furniture, apparel, transportation and toys. He signaled that he and his colleagues were prepared to respond by raising rates, and doing so more quickly if needed, though he emphasized on Wednesday that no decision had been made ahead of the central bank’s meeting on March 22. Powell made clear the next move would hinge on a series of job market and inflation data points set for release over the next week.