The Fed said that inflation remains high and that more rate hikes are necessary to bring it under control.
In the Fed's semi-annual report, Jerome Powell and his colleagues stressed that the Monetary Policy Committee is strongly committed to bringing inflation back towards the 2% target.
He added: Continuous increases in the target range would be appropriate in order to reach an adequately restrictive monetary policy.
The Fed also stressed that it is fully aware of the challenges that high inflation poses to the economy.
The report indicated that consumer confidence is still very low, while household spending appears to be somewhat less supportive of spending growth.
The Federal Reserve raised interest rates by about 25 basis points at its February meeting, after increasing it by 50 basis points at its last meeting in 2022.
Economist Mohamed El-Erian said that the Fed should raise interest rates by 50 points at this month's meeting, stressing that the 25-point increase last month was a very early step.
