Fed Chair Jerome Powell Discusses Interest Rate Decision

United States Federal Reserve Chair Jerome Powell recently acknowledged that the decision to lower interest rates was a "close call," but ultimately, the committee felt it was the "right call."

Powell elaborated on the factors influencing the decision, noting the easing labor market, steadily declining inflation, and a decrease in inflation within housing services. He emphasized, "We don't think we need further cooling in the labor market to get inflation down to 2%. Downside risks to labor market have diminished but still cooling."

The central bank views the current situation as "balanced" between the risks of increasing inflation and those linked to a softening labor market. Powell concluded, "As long as jobs and inflation are solid, we can be cautious about cutting."