US inflation may have increased slightly in May, according to economists’ predictions. This development comes as Federal Reserve Chairman Jerome Powell is set to testify before Congress for the second time this year.
Powell will emphasize the need for more clarity on the economic impact of White House trade policy during his two-day testimony. The Fed chair’s comments suggest that while rate cuts are possible in 2023, officials want to better understand the effects of US trade policies. This approach marks a go-slow strategy for the central bank amid concerns about the potential consequences of tariffs.
Source: https://www.bloomberg.com/news/articles/2025-06-21/fed-interest-rates-mild-us-inflation-is-backdrop-for-powell-on-the-hill