The Federal Reserve hiked interest rates by 25 bps, in line with the market expectations. However, the indication by Jerome Powell that the Central Bank might be nearing the end of its cycle of interest-rate hikes was a pleasant surprise, cheerfully welcomed by the market with a euphoric rally.
The Fed Chair expressed cautious optimism in his speech by noting that while it would be “very premature to declare victory or to think we really got this, I think for the first time that the disinflationary process has started.”
