Powell signals more Fed rate hikes

Positive response: Traders work on the trading floor of the New York Stock Exchange as Powell is displayed on a screen above. Markets staged a powerful rally with the S&P 500 stock index rising 2.6% yesterday. — Reuters

WASHINGTON: Jerome Powell says the Federal Reserve (Fed) will press on with the steepest tightening in a generation to curb inflation while giving officials more flexibility on coming moves amid signs of a broadening economic slowdown.

Policymakers raised the benchmark lending rate 75 basis points on Wednesday to a range of 2.25% to 2.5% and said they anticipate “ongoing increases” will be appropriate.