Fed Chair Powell Signals Smaller Rate Hikes Ahead

The transcript discusses the need for a restrictive policy to control inflation, anticipating ongoing rate increases and predicting higher ultimate rate levels. It considers the timing for moderating rate increases, possibly as soon as December, and emphasizes the importance of maintaining a restrictive policy to restore price stability. The transcript warns against prematurely loosening policy despite some promising developments, highlighting the long journey ahead to achieve price stability.

What is the expected timeline for moderating the pace of rate increases?

What progress has been made in tightening policy according to the text?