Fed will not raise rates on inflation fears alone

WASHINGTON: Federal Reserve (Fed) chair Jerome Powell reaffirmed the US central bank’s intent to encourage a “broad and inclusive” recovery of the job market, and not to raise interest rates too quickly based only on the fear of coming inflation.

“We will not raise interest rates pre-emptively because we fear the possible onset of inflation. We will wait for evidence of actual inflation or other imbalances, ” Powell said in a hearing before a US House of Representatives panel.