Powell reiterated the possibility of keeping interest rates high for a longer period of time

Federal Reserve Chairperson Jerome Powell says the Fed needs to be patient and wait for more evidence that high interest rates are dampening inflation, thereby doubling the need for rates to stay high for longer. Powell expects inflation to fall on a monthly basis, but the price data for Quarter 1 has dented his confidence. The lack of further progress on inflation in US Quarter 1 is notable. The Fed doesn't see fighting inflation as a smooth path, but recent data has been higher than anyone expected. This tells people to be patient and let restrictive policies work.