Fed Chair Powell calls talk of cutting rates ‘premature’ and says more hikes could happen

Federal Reserve Chairman Jerome Powell said it is “premature” to be discussing the possibility of cutting interest rates following the Wednesday announcement of the March rate hike. Powell noted that future rate hikes are both possible and “appropriate” depending on the incoming economic data. The central bank currently has a federal funds rate target range of 1.5 to 1.75 percent, and noted that further rate changes will be driven by “incoming economic information and other developments.” Powell also said that the Fed could well continue to gradually raise the interest rates if the economy continues to expand and inflation remains at target levels.