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The Federal Reserve (FED) Chairman Powell announced the launch of the Interest Rate framework review, with results expected to be announced in the fall.
Gate.io News bot message, The Wall Street Journal reported that Federal Reserve Chairman Jerome Powell made an important announcement at the Thomas Laubach Research Conference. Powell announced that the Federal Reserve is reviewing its Interest Rate setting framework, with results expected to be released to the public in August or September of this year.
This review stems from significant changes in inflation and Intrerest Rate since 2020. Powell pointed out in the meeting that the average inflation targeting strategy adopted in 2020 failed to address the post-pandemic surge in inflation. The Federal Reserve (FED) aims to adjust its framework to respond to future supply shocks while maintaining the 2% inflation target.