What did Fed Chair Powell say about inflation?

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Fed Chair Powell Forecasts Persistent Inflation Until Mid-2022

Federal Reserve Chair Jerome Powell informed Congress that elevated inflation is expected to continue until the middle of next year. Powell also indicated that the central bank is likely to consider accelerating the reduction of its asset-buying program, which was initiated last year to stimulate the economy during the pandemic.
Inflation Outlook

Jerome Powell stated that high inflation will persist until the middle of next year. This projection suggests that the current inflationary pressures are not anticipated to dissipate in the short term.
Tapering of Asset Purchases

In addition to his inflation remarks, Powell indicated that the Federal Reserve is "likely" to discuss speeding up the tapering of its asset-buying program. This program was established last year to provide economic support amidst the pandemic. The potential acceleration of tapering suggests a shift towards a more hawkish monetary policy stance.
Market Reaction

Concerns about persistent inflation and a potential acceleration of tapering contributed to broader market declines. Global stock benchmarks and oil prices experienced significant drops, with investors moving towards perceived safe-haven assets such as government bonds and the Japanese yen. This shift reflects investor caution in response to the economic outlook presented by Powell.

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What did Fed Chair Powell say about inflation?

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