But Powell stressed that the tapering doesn’t mean policy makers will hike rates any time soon, emphasizing the desire to not hinder potential job gains ahead.
Federal Reserve Chair Jerome Powell said officials can be patient on raising interest rates – after announcing a start to reducing their bond purchases – but won’t flinch from action if warranted by inflation.
“We think we can be patient. If a response is called for, we will not hesitate,” he told a news conference Wednesday after the Federal Open Market Committee said it would scale back by US$15 billion a month starting in November.
