Financial Associated Press, May 11 (editor Huang Junzhi) although Federal Reserve Chairman Colin Powell quelled market concerns about raising interest ratesUndresspokerBut as officials release eagles intensively, interest rate cuts this year seem more and more distant. Lorie Logan, president of the Dallas Fed, said on Friday that it was too early to consider cutting interest rates, given disappointing inflation figures in the first few months of the year.

She said at an event that the degree of policy restrictions was uncertain and that the resilience of the economy was surprising given the high interest rates.

"it is too early to consider cutting interest rates." "I need to see some of the uncertainties on our path resolved, we need to be very flexible about policy, continue to pay attention to the upcoming data and see how the financial situation evolves," she said. "

Since the interest rate meeting last July, Fed officials have kept interest rates at 5%.Undresspoker.25% to 5%UndresspokerThe .5% range remains the same. The long-awaited "first fall in March" at the beginning of this year has also been repeatedly postponed by persistently high inflation data, and interest rate cuts have been slashed during the year. It is now widely expected that the Fed's first cut will take place in September, with only one interest rate cut this year.

Federal Reserve Chairman Colin Powell recently said that policy makers may keep interest rates high for some time, adding thatUndresspokerHe is not sure how long it will take him and his colleagues to gain confidence in cutting interest rates.

Logan said that in the face of higher interest rates, the strength of the economy may be due to the easing of supply chain problems during the pandemic, or the labor market began to normalize when COVID-19 was very tight during the recovery.

"it could also be because neutral interest rates have really risen," she said. We are beginning to accumulate evidence that this level may be higher than before. " The so-called neutral interest rate refers to the level of interest rate that neither stimulates nor drags down the economy.

Officials release eagles intensively

Apart from Logan, the speeches of other officials are not optimistic. Earlier on Friday, Michelle Bowman, a Fed governor, said she did not expect interest rate cuts this year, given high inflation. Bowman is the first recent Fed official to directly rule out a rate cut this year.

"at present, I have not included interest rate cuts in my economic forecasts for 2024. I tend to maintain existing interest rates for longer, which is still my basic assumption. " She said.

In addition, Susan Collins, chairman of the Boston Fed, said on Wednesday that it would take longer than previously thought to reach the 2% inflation target, which means interest rates need to stay at current levels for longer.

"not much progress has been made in the fight against inflation in 2024, and recent data make me believe it will take longer than previously expected," she said. The recent unexpected rise in economic activity and inflation suggests that policy may need to be maintained at current levels until we have greater confidence that inflation continues to move towards 2 per cent. "

Minneapolis Fed Chairman Kashkari previously warned that current interest rates may not be enough to return inflation to the target level of 2%. He said policy makers were most likely to keep interest rates unchanged for an extended period of time; raise rates if inflation became entrenched; and need to see multiple positive inflation data to help the Fed start cutting interest rates.