Powell Says Fed Is Prepared to Raise Rates Further

The video discusses the goal of reducing inflation to 2% and the significant policy tightening over the past year. Despite a decrease from its peak, inflation remains high, prompting readiness to raise rates further if needed. Economic indicators like GDP growth and consumer spending have exceeded expectations, while the housing sector shows signs of recovery. Persistent above-trend growth could risk inflation progress, necessitating further monetary policy tightening.

What signs are mentioned that the economy may not be cooling as expected?

What could further evidence of above trend growth imply for inflation?