Summary of Key Points from Powell's March Press Conference

SHANGHAI, Mar 28 (SMM) - Summary of key points from Powell's March press conference: 1. Interest rate policy: In the days leading up to the March meeting, the Fed considered pausing rate hikes. But the move to raise rates has strong unanimous support from FOMC members. If necessary, the Fed will raise interest rates more than expected. 2. Banking crisis: a. A small number of banks are suddenly in serious difficulties. It is necessary to be prepared to use all tools to ensure the security of the banking system. A series of bank failures could affect the US economy. The Fed pledges to learn lessons from this banking crisis and has communicated its intent to raise interest rates well enough to ensure banks can handle it. b. The Fed's lending bridge loan of FDIC in response to the failure of the Silicon Valley Bank will not put the Fed at risk. c. Powell is willing to invoke an external investigation into the Fed's oversight of SVB. 3. Economic situation: Inflation is still too high, and there is still a long way to fall to 2%. The labour market remains tight.