Powell throws cold water on notion of interest rate cuts

Federal Reserve Chairman Jerome Powell indicated recent high inflation is making it less likely that interest rates will be cut in the coming weeks and months.

Powell, speaking during a question-and-answer session in Washington, D.C., emphasized that the hotter-than-desired inflation reports over the past quarter have not provided the Fed the confidence it needs that price pressures are abating. Powell’s remarks are an acknowledgement of a recent major shift in expectations from investors regarding interest rates.