Powell Signals Pause as Energy Prices Rise

Federal Reserve Chair Jerome Powell says the central bank is likely to hold interest rates steady for now, even as the war in Iran drives energy prices higher. Speaking at Harvard University, Powell said energy-related shocks are typically short-lived but cautioned the Fed may need to act if rising costs begin to influence long-term inflation expectations. For now, the Fed is taking a wait-and-see approach, keeping interest rates in the 3.5 to 3.75 percent range.