MNI BRIEF: Powell Says Rate Downshift Could Come In December
Federal Reserve Chair Jerome Powell said Wednesday a downshift from the 75bp pace of interest rate increases could happen as soon as December but no decision has been made.
"It may come as soon as the next meeting or the one after that. No decision has been made," Powell told reporters after delivering an unprecedented fourth 75bp rate hike. "It is likely we'll have a discussion about this at the next meeting."
Chair Powell stressed the rate peak is more important than the tactics the central bank uses to get there: "The question of when to moderate the pace of increases is now much less important than the question of how high to raise rates and how long to keep monetary policy restrictive which will be our principle focus." Ex-officials have told MNI the rate peak could be 5% or more.