Powell Says Fed Can Raise Rates Without Hurting Jobs

The transcript discusses the current state of the labor market, highlighting the abundance of job openings compared to unemployed individuals. It suggests that there is room to raise interest rates without negatively impacting the labor market. The discussion also covers the strong labor market conditions, with high job openings and wage growth. Additionally, it addresses inflation concerns, noting that various forces, including supply-side improvements and fiscal policy changes, may help reduce inflation over time. The uncertainty of these factors is acknowledged, and the readiness to use tools to prevent entrenched inflation is emphasized.

What uncertainties are associated with inflation as discussed in the text?

What measures does the speaker suggest to prevent higher inflation from becoming entrenched?