Fed Chairman Jerome Powell said the decision to raise the interest rate by 75 basis points was unusual for the bank, but did not rule out a similar increase next month. .
In a press conference after the monetary policy meeting, Powell said: "Obviously, the 75 basis point rate hike was exceptionally high, and I don't expect that size of an increase to be normal." .
But Powell indicated that the Fed is likely to discuss a 50 or 75 basis point rate hike at its July meeting.
He explained that the Fed has the tools to deal with accelerating inflation, noting that the pace of price hikes has become abnormally strong.
Powell pointed out that a large part of inflation in the United States is not under the control of the Federal Reserve, as the Russian invasion of Ukraine has raised fuel and commodity prices to record levels, which is What monetary policy cannot handle.
