Powell: Long-term inflation expectations remain solid; no rush to address energy shocks for now

ME News update, April 1 (UTC+8). On Monday, Federal Reserve Chair Jerome Powell said that despite ongoing energy shocks, long-term inflation expectations appear to remain stable, and the Fed does not yet need to decide how to respond to the latest situation. He said at Harvard University: “Inflation expectations beyond the short term still appear to be solid.” When discussing energy shocks related to a war with Iran, he said: “We do not yet know its specific impact on the economy, but given that inflation is likely to remain higher than our 2% target over the long run, we will closely monitor how it affects price pressures.” (Source: Jinshi)