Federal Reserve Chair Jerome Powell said Friday that stresses in the banking sector could mean that interest rates won’t have to be as high to control inflation.
Speaking at a monetary conference in Washington, D.C., the central bank leader noted that Fed initiatives used to deal with problems at mid-sized banks have mostly halted worst-case scenarios from transpiring.
But he noted that the problems at Silicon Valley Bank and others could still reverberate through the economy.
Read More : Powell: Less Aggressive Rate Rises Could Effectively Curb Inflation