When Federal Reserve Chair Jerome Powell delivers what will be his most closely scrutinized speech of the year Friday, investors and economists will be turning over his remarks for any clues about how fast the Fed may continue to raise its key interest rate — and for how long.
With inflation hovering near a four-decade high — almost 9% — Powell will likely stress that the Fed is determined to bring it down to its 2% target, no matter what it takes. The Fed's rate hikes may well defeat inflation in time. But there are fears that they may cause a recession in the process.
