Powell: Five-Year High Inflation Erodes 2% Target Credibility, Inflation Cannot Be Addressed in 9 Weeks

July 30th, Federal Reserve Chair Powell stated in a press conference that the high inflation of the past five years has left a lasting impression on the market, that the Fed's implicit inflation target is above 2%.

Powell stated that the inflation issue "cannot be resolved in 9 weeks," and pointed out that both the nominal and real yields on the U.S. Treasury yield curve have risen significantly.