Powell to Face Capitol Hill Hearing at a Time of Rising Uncertainty Over Fed’s Interest-Rate Plans

Fed Chair Jerome Powell is set to testify before Congress for two days, addressing the key question of how the central bank will proceed with interest rate hikes. Last week’s Fed meeting yielded mixed signals, with policymakers predicting two more rate increases this year to combat inflation. However, they also revised their inflation forecast higher for next year. Surprisingly, they decided to hold off on a rate hike for the first time in 11 meetings, despite the gloomy outlook.