Fed Chair Expresses Uncertainty Over Upcoming Data

Federal Reserve Chair Jerome Powell voiced uncertainty on Wednesday regarding the clarity of upcoming economic data. This data is crucial for the Federal Open Market Committee's (FOMC) decision on interest rates at their next meeting in September.

Commitment to Data-Driven Decisions

Following the Fed's decision to maintain current rates, Powell emphasized the central bank's reliance on government data, calling it "the gold standard." He highlighted ongoing risks to both inflation and the labor market, noting that goods inflation is slightly diverting from targets.

Fed's Dual Mandate in Focus

Powell reiterated the Fed's dedication to achieving its inflation and labor market targets. He defended the latest monetary policy decision, stating that maintaining a restrictive stance is essential for supporting progress toward these goals.