Federal Reserve Chairman Jerome Powell talked tough on inflation Wednesday, saying at a forum that he expects multiple interest rate increases ahead and possibly at an aggressive pace, according to CNBC.
We believe there's more restriction coming," Powell said during a monetary policy session in Sintra, Portugal. "What's really driving it ... is a very strong labor market."
The comments reiterate a position taken by Powell's fellow policymakers at their June meeting, during which they indicated the likelihood of another half percentage point of increases through the end of 2023.
Assuming a quarter-point per meeting, that would mean two more increases. Previous comments from Powell pointed to a likelihood of the hikes coming at alternate meetings, though he said Wednesday that might not be the case depending on how the data come in.
Markets took a modest hit as Powell spoke, with the Dow Jones Industrial Average off more than 120 points.
