US Federal Reserve Chairman Jerome Powell said on Wednesday that the central bank had likely finished raising interest rates, but kept the option of raising them open if necessary.
He added in a press conference following the last meeting of the Open Market Committee, “We believe that the interest rate has reached its peak or is close to it.”
He added: We are ready to tighten policy further if that is appropriate, adding that while bank officials: They do not see it as likely that it would be appropriate to further raise interest rates, they do not want to remove this possibility from the table if necessary.
In a move consistent with expectations, the US Federal Reserve kept interest rates unchanged on Wednesday, for the third time in a row, to remain at a level ranging between 5.25 and 5.5 percent, which is the highest in 22 years.
The Federal Reserve indicated in new economic forecasts that the historic tightening of US monetary policy has come to an end, and that borrowing costs will decline in 2024, as it expected a decline of 75 basis points over the next year.
In a new monetary policy statement, US Central Bank officials paid clear attention to the fact that inflation has slowed over the past year.
