Federal Reserve Chair Jerome Powell told reporters Wednesday that if the Federal Reserve had to keep raising interest rates, it would do so. Powell's answer was given in response to the doubts raised by the most recent crisis in the banking system.
"If we need to raise rates higher, we will. I think for now though, as we mentioned, we see the likelihood of credit tightening," Powell said, adding that officials will continue watching what happens in the labor market and regarding inflation.
During the same press conference, Powell acknowledged that in the days leading up to the Fed's latest decision, they considered a pause. The latest data, however, tipped the scales toward continuing the bank's current pace.
