Mr. Powell made the above comment more than a week after the Fed cut interest rates for the first time in nearly 4 years, with a reduction of 0.5 percentage points, bringing the interest rate margin to the range of 4.75 – 5%. Mr. Powell clearly stated that the more favorable economic situation is creating conditions for reducing inflation. Prices of all commodities, except food and energy, have fallen while supply bottlenecks have gradually eased.

Also according to the head of the US central bank, the Fed has made much progress in limiting commodity price increases without increasing unemployment. Currently, this bank is considering further lowering interest rates, if no big surprises happen. However, Mr. Powell also noted that this is not a predetermined path and that the data will be fully evaluated before making a final decision.