Fed Chair Powell Stresses Focus on Controlling Inflation Amid Trump Criticism

Chair of the US Federal Reserve Jerome Powell speaks during a press conference following the Federal Open Market Committee meeting in Washington, DC, on June 18, 2025.

Federal Reserve Chair Jerome Powell on Tuesday emphasized the central bank's commitment to keeping inflation in check, saying he expects policymakers to stay on hold until they have a better handle on the impact tariffs will have on prices.

In remarks to be delivered to two congressional committees this week, Powell characterized economic growth as strong and the labor market to be around full employment.

However, he noted that inflation is still above the Fed's 2% target, with the impact that President Donald Trump's tariffs will have still unclear.

\"Policy changes continue to evolve, and their effects on the economy remain uncertain,\" Powell said. \"The effects of tariffs will depend, among other things, on their ultimate level.\"

Repeating what has become familiar language from the Fed chief, Powell said policymakers are \"well positioned to wait to learn more about the likely course of the economy before considering any adjustments to our policy stance.\"

The cautious tones could further antagonize Trump, who has ramped up his long-standing criticism of Powell. In his latest broadside, posted early Tuesday on the president's Truth Social platform, Trump said he hopes \"Congress really works this very dumb, hardheaded person, over.\"

Powell will present his comments, along with the Fed's monetary policy report, first to the House Financial Services Committee on Tuesday morning, then the Senate Banking Committee a day later.

According to the source: CNBC.