Jerome Powell…

hit enter and away she goes…

oh well


WASHINGTON, March 2 (Reuters) - The Federal Reserve will move forward with plans to raise interest rates this month to try to tame high inflation, but the outbreak of war in Ukraine has made the outlook “highly uncertain” for U.S. central bank policymakers as they plan their next steps, Fed Chair Jerome Powell said on Wednesday.

In prepared remarks for his testimony to the U.S. House of Representatives Financial Services Committee, Powell reiterated the core Fed narrative that high inflation and an “extremely tight” labor market warrant higher interest rates.

“We expect it will be appropriate to raise the target range for the federal funds rate at our meeting later this month,” Powell said, and that the Fed will follow that later this year with reductions to its roughly $8.5 trillion portfolio of government securities.

The selling of bonds by the FED is the same as taking dollars out of the economy. That is the purpose here.