Fed's Powell says 'premature' to up rates despite inflation risk - NewsBreak

Despite a risk that high inflation in the United States could persist, it would be "premature" to raise borrowing rates and risk slowing the economic recovery, Federal Reserve Chair Jerome Powell said Friday. The US central bank chief acknowledged that supply constraints and shortages that have caused prices to rise sharply are "likely to last longer than previously expected, likely well into next year." But at the Fed "we need to be patient," Powell said during a panel discussion organized by South Africa's central bank. The Fed is "on track" to begin to pull back on its massive monthly bond purchases, which would be completed by mid-2022, he said.