Fed's Jerome Powell says strong economy could require rate hikes: 'Inflation is still too high'

Published

2 years ago

October 20, 2023

admin

The US economy’s strength and continued tight labor markets could warrant further Federal Reserve interest rate increases, Fed Chair Jerome Powell said on Thursday in remarks that appeared to push back against market expectations that the central bank’s rate hikes had reached an end.

“We are attentive to recent data showing the resilience of economic growth and demand for labor. Additional evidence of persistently above-trend growth, or that tightness in the labor market is no longer easing, could put further progress on inflation at risk and could warrant further tightening of monetary policy,” Powell said in remarks to the Economic Club of New York.

For inflation to durably return to the Fed’s 2% target, it “is likely to require a period of below-trend growth and some further softening in labor market conditions,” Powell said.

Since the Fed began raising interest rates in March of 2022 the unemployment rate has varied little from the current 3.8%, below the level most Fed officials feel is noninflationary, and overall economic growth has generally remained above the 1.8% annual growth rate Fed officials see as the economy’s underlying potential.

The Fed is “proceeding carefully” in evaluating the need for any further rate increases, Powell said, likely leaving intact current expectations that the Fed will leave its benchmark policy rate steady at the current 5.25% to 5.5% range at the upcoming Oct. 31-Nov. 1 meeting.

There is evidence the labor market is cooling, Powell said, with some important measures approaching levels seen even before the pandemic.

Powell also noted a number of fresh “uncertainties and risks” that need to be accounted for as the Fed tries to balance the threat of allowing inflation to rekindle against the threat of leaning on the economy more than is necessary.

Those include new geopolitical risks to the economy from the “horrifying” attack on Israel by the Palestinian militant Hamas group, Powell said.

“Our institutional role at the Federal Reserve is to monitor these developments for their economic implications, which remain highly uncertain,” Powell said. “Speaking for myself, I found the attack on Israel horrifying, as is the prospect for more loss of innocent lives.”

He also noted recent market-driven increases in bond yields that have helped to “significantly” tighten overall financial conditions.

“Persistent changes in financial conditions can have implications for the path of monetary policy,” Powell said, with higher market-based interest rates, if sustained, doing the same job as Fed rate increases.

But the Fed chair also voiced what has become a lingering theme at the central bank: That despite steady progress on lowering inflation, the battle isn’t over, with further rate increases still a possibility and the duration of tight monetary conditions still to be determined.

“Inflation is still too high, and a few months of good data are only the beginning of what it will take to build confidence that inflation is moving down sustainably toward our goal,” Powell said, citing the progress made since inflation peaked last year but also noting that one of the Fed’s main measures of inflation remained at 3.7% through September, nearly twice the central bank’s target.

“We cannot yet know how long these lower readings will persist, or where inflation will settle over coming quarters,” Powell said. “The path is likely to be bumpy and take some time…My colleagues and I are united in our commitment to bringing inflation down sustainably to 2%.”

The weeks since the Fed’s September meeting have been unusually turbulent, with worries about regional war in the Middle East rising and bond markets driving market interest rates higher, tightening the financial conditions faced by businesses and households somewhat independent of the Fed.

Data since the Fed’s last meeting also has shown US job growth reaccelerating unexpectedly, retail sales defying predictions of a slowdown and varying measures of prices offering inconsistent signals about whether inflation is on track to return to the Fed’s 2% target in a timely manner.

Powell’s appearance comes less than 48 hours before the beginning of the traditional quiet period ahead of the rate-setting Federal Open Market Committee’s meeting on Oct. 31-Nov. 1. While a handful of other Fed officials have appearances later on Thursday and Friday before blackout begins on Saturday, it is Powell’s remarks that will set the tone for policy expectations heading into that meeting.

Should they leave rates unchanged in two weeks as is now widely expected, it would mark the first back-to-back meetings with no rate increase since the Fed kicked off its hiking campaign in March 2022.

A Reuters poll of more than 100 economists published on Wednesday showed more than 80% expect no rate hike at the next meeting, and most also believe the Fed is done with rate hikes even though a majority of policymakers at their September meeting projected one more quarter-point increase was likely to be needed by year end.

Many in the poll offered the caveat that if progress on inflation stalls out or reverses, the Fed would not hesitate to resume raising rates.

Politics

No 10 decline to say if Palestine will be recognised with Hamas in power

Published

3 hours ago

August 4, 2025

admin

No 10 decline to say if Palestine will be recognised with Hamas in power

The prime minister’s spokesman has refused eight times to confirm whether recognition of Palestine could go ahead if Hamas remain in power and the hostages are not released.

Keir Starmer’s spokesman was questioned by journalists for the first time since the announcement last week that the UK will formally recognise the state in September – unless Israel meets certain conditions including abiding by a ceasefire and increasing aid.

The policy has been criticised by the families of UK hostages, campaigners and some Labour MPs, who argue it would reward Hamas and say it should be conditional on the release of the remaining hostages.

A senior Hamas politician, Ghazi Hamad, speaking to Al Jazeera, said at the weekend that major nations’ decision to recognise a Palestinian state “is one of the fruits of 7 October”.

Gaza latest: Trump pressed to recognise Palestinian state

The PM’s spokesman said on Monday: “The PM is clear that on 7 October, Hamas committed the worst act of terror in Israel’s history. That horror has continued since then.

“As the foreign secretary said over the weekend, Hamas are rightly pariahs who can have no role in Gaza’s future, there is a diplomatic consensus on that. Hamas must immediately release all hostages and have no role in the governance of Gaza.”

But asked whether removing Hamas from power and releasing hostages were conditions for statehood, he said a decision on recognition would be made at the UN General Assembly meeting in September, based on “an assessment of how far the parties have met the steps we have set out. No one side will have veto on recognition through their actions or inactions.”

He added: “Our focus is on the immediate situation on the ground, getting more aid in to end the suffering in Gaza and supporting a ceasefire and a long-term peace for Israelis and Palestinians based a two-state solution.”

Starmer, who recalled his cabinet for an emergency meeting last week before setting out the new position, is following the lead of French president Emmanuel Macron, who first pledged to move toward recognising Palestinian statehood in April.

Canada has also backed recognition if conditions are met, including by the Palestinian Authority.

The prime minister had previously said he would recognise a state of Palestine as part of a contribution to a peace process.

In his announcement last Tuesday, he said: “We need to see at least 500 trucks entering Gaza every day. But ultimately, the only way to bring this humanitarian crisis to an end is through a long-term settlement.

“So we are supporting the US, Egyptian and Qatari efforts to secure a vital ceasefire. That ceasefire must be sustainable and it must lead to a wider peace plan, which we are developing with our international partners.

“I’ve always said we will recognise a Palestinian state as a contribution to a proper peace process, at the moment of maximum impact for the two-state solution. With that solution now under threat, this is the moment to act.”

Adam Rose, a lawyer acting for British families of hostages in Gaza, has said: “Why would Hamas agree to a ceasefire if it knew that to do so would make British recognition of Palestine less likely?”

Environment

EcoFlow DELTA 2 Max solar bundle $1,139 low, Lectric ONE e-bike gets $319 in free gear, Anker SOLIX C300 90,000mAh stations, more

Published

3 hours ago

August 4, 2025

admin

EcoFlow DELTA 2 Max solar bundle ,139 low, Lectric ONE e-bike gets 9 in free gear, Anker SOLIX C300 90,000mAh stations, more

We’re starting this week’s Green Deals with EcoFlow’s August Home Backup Sale that is seeing up to 59% initial discounts, bonus savings, continued 3x and 3.5x EcoCredit rewards, new free gift promotions, and more – with plenty of ongoing low prices like the DELTA 2 Max Solar Generator bundle that gives you a 220W panel at its $1,139 low, among many others. We also have Lectric’s ONE Long-Range e-bike getting the biggest $319 bundle of 2025 at $2,399, as well as Anker’s SOLIX C300 90,000mAh Power Stations and bundle options starting from $170. From there, we also have EcoFlow’s latest 48-hour flash sale on two power station bundles and a dual solar panel option, alongside the best price of the year on Worx’s 20V JawSaw PowerShare Cordless Chainsaw.Plus, all the hangover savings from last week are at the bottom of the page, rounded together in our Electrified Weekly coverage, which includes the new EcoFlow TRAIL releases, exclusive Bluetti Apex 300 launch savings, and much more.

Head below for other New Green Deals we’ve found today and, of course, Electrek’s best EV buying and leasing deals. Also, check out the new Electrek Tesla Shop for the best deals on Tesla accessories.

Save up to 59% on EcoFlow power stations and backup bundles with bonus savings, free gifts, up to 3.5x EcoCredits – all from $179

EcoFlow has launched a new Home Backup Sale through August 17 that is continuing some of the Monthly Madness rewards from last week while adding new free gift promotions and extra savings – with this event running parallel to the brand’s release of the new TRAIL series power stations. One of the notable low prices we’re seeing during this period is on EcoFlow’s DELTA 2 Max Solar Generator bundle that comes with a 220W solar panel for $1,139.05 shipped, after using the code 25EFDCAFF at checkout for an additional 5% off your order, which beats out Amazon’s current pricing by $60. Normally going for $2,548 in full here, over the last seven months we’ve seen discounts take things to their lowest for $1,139 back during last month’s Prime Day event, with prices otherwise keeping at or above $1,199. That low price is coming back thanks to the bonus savings, giving you $1,409 in savings and the best price we have tracked.

As previously mentioned, this Home Backup Sale is seeing some continuations alongside some new free gift promotions. Of course, there’s the extra 5% savings you’ll get using the code 25EFDCAFF at checkout, but standard members will also be getting 3x EcoCredits from orders, while Plus members get 3.5x EcoCredits – which you can use to score future discounts and other exchanged rewards. If you already have some saved, you can spend 500 to unlock a spin on the brand’s Lucky Draw wheel for guaranteed gifts/savings. There’s also the chance to get a free refurbished RIVER 2 Max power station with purchases of select DELTA series units.

Advertisement – scroll for more content

For folks not wanting to spend too much on larger whole-home backup systems but want to maintain their peace of mind during trips away from home and possible at-home outage emergencies, EcoFlow’s DELTA 2 Max is a solid option that starts with a 2,048Wh LiFePO4 capacity and can expand as high as 6,144Wh with add-on expansion batteries. It pumps out a steady stream of 2,400W of power through its 15 output port options, with the ability to surge up to 3,400W once you’ve activated its X-Boost mode in the remote app controls. A wall outlet can bring the battery back to 83% in 1.1 hours, with the option to plug it into your car’s auxiliary port to charge as you drive, on top of a max 1,000W solar input that can also be used simultaneously with a wall outlet for faster 43-minute charge times.

If you just want EcoFlow’s DELTA 2 Max power station by itself, you can pick it up at $996.55 shipped, after using the 5% off code, while bundling EcoFlow’s DELTA 2 Max with an 800W alternator charger that tops it off faster than a car auxiliary port will cost you $1,139.05 shipped, after using the extra savings code.

You can browse the full lineup during this EcoFlow August Home Backup Sale by checking out our original coverage of these deals here.

man riding down sidewalk on Lectric ONE e-bike

Lectric’s 60-mile traveling ONE e-bike with a Gates carbon belt drive gets largest $319 bundle of 2025 at $2,399

Looking in on Lectric’s ongoing Back to School Sale, we wanted to shine a spotlight on the biggest bundle we’ve seen accompany the brand’s ONE Long-Range e-bike at $2,399 shipped, which is getting $319 in free gear that includes a rear cargo rack, fenders to go over the tires, and a 4-liter frame bag. This package would normally run you $2,718 at full price, if it weren’t for the brand’s trend of offering savings on the bundles. While we did see it get a $308 bundle back in February, this model has otherwise only been getting $220 in free gear this year, but now, during this sale, we’re seeing a larger bundle than ever in 2025.

If you want to learn more about this model, be sure to check out our original coverage of this deal here, while you can also check out the full lineup of Back to School e-bike deals from this brand here.

man hiking through woods with Anker SOLIX C300 DC power station hanging from shoulder

Anker’s SOLIX C300 power stations are portable 90,000mAh backup companions that start from $170 (up to 32% off)

By way of its official Amazon storefront, Anker is offering its SOLIX C300 DC Portable Power Station at $169.99 shipped, beating out the brand’s direct website pricing by $20. You’d have to pay $250 for this unit at full price regularly, though discounts in 2025 have seen it go as low as $150, which was last seen in July’s Prime Day Sale event, with things otherwise seen repeating to $170 since June. This is the third-lowest price we have tracked, giving you $80 off the going rate and landing $30 above the all-time low from Black Friday and Christmas sales.

If you want to learn more about this model or get the rundown on its predecessor and bundle options, be sure to check out our original coverage of these deals here.

four people enjoying camping in tent with EcoFlow DELTA 2 power station with extra battery bundle

Save up to 62% on DELTA 2 and DELTA Pro bundles, as well as dual solar panels, starting from $499 for 48 hours

Alongside launching its latest Home Backup Sale that is running through August 17, EcoFlow has also launched a 48-hour flash sale that is taking up to 62% off three offers, with things starting lowest on the DELTA 2 Portable Power Station that comes bundled with a smart extra battery for $899 shipped, which beats out its Amazon pricing by $50. This bundle would cost you $1,798 at full price directly from the brand, while we’ve seen it more regularly at $1,289 at Amazon. Discounts this year have seen it fall to $799 back in March, with things otherwise dropping between $849 and $999 during sales. You’re looking at a 50% markdown off its MSRP here and the third-lowest price of 2025, while the savings last through today and tomorrow.

If you want to learn more about this bundle or the two other offers, be sure to check out our original coverage of this flash sale here.

man cutting thick tree branch with Worx 20V JawSaw cordless chainsaw

Worx’s 20V JawSaw chomps through thick branches with a retractable blade at $101

Amazon is offering the best price of the year on Worx’s 20V JawSaw PowerShare Cordless Chainsaw at $101.40 shipped. Most of the past year we’ve seen this more unique chainsaw keeping up at a full $170 rate, which we saw drop to $130 during Black Friday and Christmas sales and more recently fell to $109 at the top of July. While it has dropped as far as $89 in past years, today’s deal comes in lower than we’ve seen in the last 12 months, giving you $69 off the going rate and beating out our previous mention by $8.

If you want to learn more about this unique chainsaw, be sure to check out our original coverage of this deal here.

Best Summer EV deals!

Aventon Ramblas Electric Mountain Bike: $2,599 (Reg. $2,899)
Ride1Up Prodigy v2 Brose Mid-Drive Gates Belt CVT e-bike: $2,595 (Reg. $2,795)
Ride1Up Revv 1 DRT Off-Road Moped-Style e-bike: $2,395 (Reg. $2,595)
Ride1Up Revv 1 Full Suspension Moped-Style e-bike: $2,395 (Reg. $2,595)
Rad Power RadRunner Max Cargo Utility e-bike with $139 bundle: $2,299 (No price cut)
Segway Xafari Red e-bike: $2,000 (Reg. $2,400)
Velotric Nomad 2 All-Terrain e-bike with $120 bundle (new model): $1,999 (No price cut)
Rad Power Radster Road Commuter e-bike: $1,999 (Reg. $2,199)
Rad Power Radster Trail Off-Road e-bike: $1,999 (Reg. $2,199)
Lectric XPedition 2.0 35Ah Cargo e-bike w/ up to $654 bundle: $1,999 (Reg. $2,653)
Ride1Up Prodigy v2 Brose Mid-Drive 9-Speed e-bike: $1,995 (Reg. $2,495)
Tenways AGO X All-Terrain e-bike with $307 bundle: $1,899 (Reg. $2,499)
Velotric Breeze 1 Cruiser e-bike with $150 bundle (new model): $1,799 (No price cut)
Aventon Pace 4 Smart Cruiser e-bike (new model, first discount): $1,699 (Reg. $1,799)
Lectric XPedition 2.0 26Ah Cargo e-bike w/ $505 bundle: $1,699 (Reg. $2,204)
Lectric XPeak 2.0 Long-Range Off-Road e-bike with $316 bundle: $1,699 (Reg. $2,015)
Aventon Aventure 2 All-Terrain e-bike: $1,699 (Reg. $1,999)
Aventon Abound Cargo e-bike: $1,599 (Reg. $1,999)
Rad Power RadRunner Cargo Utility e-bike with $109 bundle: $1,499 (No pirce cut)
Lectric XPeak 2.0 Standard Off-Road e-bike with $227 bundle: $1,499 (Reg. $1,726)
Lectric XP Trike2 with $227 preorder bundle: $1,499 (Reg. $1,726)
Rad Power RadWagon 4 Cargo e-bike: $1,499 (Reg. $1,799)
Tenways CGO600 Pro e-bikes with $118 bundle: $1,499 (Reg. $1,899)
Velotric Nomad 1 Plus All-Terrain e-bike: $1,499 (Reg. $1,899)
Aventon Sinch 2 Folding e-bike (lowest price): $1,399 (Reg. $1,699)
Lectric XPedition 2.0 13Ah Cargo e-bike with $326 bundle: $1,399 (Reg. $1,725)
Aventon Level 2 Commuter e-bike (2025 low): $1,399 (Reg. $1,899)
Ride1Up Roadster V3 Lightweight Premium e-bike: $1,395 (Reg. $1,495)
Velotric T1 ST Plus Lightweight e-bike: $1,399 (Reg. $1,649)
Lectric XPress 750 Commuter e-bikes with $366 bundle: $1,299 (Reg. $1,665)
Lectric XP4 750 LR Folding Utility e-bikes with $356 bundle: $1,299 (Reg. $1,655)
Lectric XP Lite 2.0 JW Black LR e-bike with $365 bundle: $1,099 (Reg. $1,464)
Ride1Up Portola Folding e-bike with BOGO accessory promo: $995 (Reg. $1,095)
Lectric XP4 Standard Folding Utility e-bikes with $79 bundle: $999 (Reg. $1,078)
Lectric XP Lite 2.0 Long-Range e-bikes with up to $365 bundles: $999 (Reg. $1,364)
Heybike Hauler Single-Battery Cargo e-bike: $999 (Reg. $1,499)
Rad Power RadExpand 5 Folding e-bike (new low): $999 (Reg. $1,599)
Navee ST3 Pro Electric Scooter (new model): $760 (Reg. $1,014)
ENGWE Engine Pro Folding e-bike (use code 9TO5ENGWE50): $750 (Reg. $1,500)
Navee GT3 Pro Electric Scooter (new model): $520 (Reg. $714)

Best new Green Deals landing this week

The savings this week are also continuing to a collection of other markdowns. To the same tune as the offers above, these all help you take a more energy-conscious approach to your routine. Winter means you can lock in even better off-season price cuts on electric tools for the lawn while saving on EVs and tons of other gear.

FTC: We use income earning auto affiliate links. More.