Fed’s Powell Says Hard Landing Not a ‘Likely Scenario’

Fed chief warns of a balancing act between keeping rates high and cutting them prematurely.

Federal Reserve Chairman Jerome Powell speaks during an interview with David Rubenstein in Washington on Feb. 7, 2023. Julia Nikhinson/Getty Images

The U.S. economy is unlikely to endure a hard landing as inflation softens and growth remains solid, Federal Reserve Chair Jerome Powell said in a question-and-answer session at the Economic Club of Washington on July 15.

“I wouldn’t rule it out, but I would say that the kind of hard landing scenario is not the most likely or a likely scenario,” Mr. Powell said.