Fed Chair Powell opens up about 'transitory' inflation, stresses it's 'premature' to raise rates



Federal Reserve Chair Jerome Powell opened up about the meaning of the word “transitory” while acknowledging inflation uncertainty and stressing that it is “premature” to raise rates.

“Inflation has come in higher than expected. Bottlenecks have been more persistent and are on track to persist well into next year. I don’t think we are behind the curve. The policy is well-positioned to address the range of plausible outcomes. It will be premature to raise rates today,” Powell said at a conference that followed the Fed’s interest rate announcement.

The Fed Chair admitted that high inflation is concerning and will likely last well into next year. “Inflation in the medium-term … is our job. The level of inflation that we have right now is not consistent with price stability,” he said. “For us, transitory has meant that it won’t leave behind permanent or persistently higher inflation … We acknowledge uncertainty around transitory.”

__________________________________________________________________
Kitco News is the world’s #1 source of metals market information. Our videos feature interviews with prominent industry figures to bring you market-affecting insights, with the goal of helping people make informed investment decisions.

Subscribe to our channel to stay up to date on the latest insights moving the metals markets.

For more breaking news, visit http://www.kitco.com/

Follow us on social media:
Facebook – https://www.facebook.com/KitcoNews/?ref=br_rs
Twitter – https://twitter.com/kitconewsnow
StockTwits – https://stocktwits.com/kitconews

Live gold price and charts: http://www.kitco.com/gold-price-today-usa/
Live silver price and charts: http://www.kitco.com/silver-price-today-usa/

Don’t forget to sign up for Kitco News’ Weekly Roundup – comes out every Friday to recap the hottest stories & videos of the week: https://connect.kitco.com/subscription/newsletter.html

Join the conversation @ The Kitco Forums and be part of the premier online community for precious metals investors: https://gold-forum.kitco.com/

Disclaimer: Videos are not trading advice and the views expressed may not reflect those of Kitco Metals Inc.

source