The Federal Reserve is likely to wait longer than initially expected to cut interest rates given stubborn inflation readings in recent months, the central bank’s top two officials said Tuesday. Policymakers came into 2024 looking for evidence that inflation was continuing to cool rapidly, as it did late last year. Instead, progress on inflation has stalled or even reversed by some measures. “The recent data have clearly not given us greater confidence and instead indicate that it’s likely to take longer than expected to achieve that confidence,” Jerome H. Powell, the Fed chair, said at an event in Washington on Tuesday. He did not say when he believed rate cuts would be appropriate.
Source: NYT > Business
