US Federal Reserve could keep lifting rates sharply ‘for some time’, says Powell

Federal Reserve chairman Jerome Powell (Manuel Balce Ceneta/AP)

US Federal Reserve chairman Jerome Powell has delivered a stark message, saying the Fed is likely to impose more large interest rate hikes in coming months and is resolutely focused on taming the highest inflation in four decades.

Mr Powell acknowledged that the Fed’s continued tightening of credit will cause pain for many households and businesses as its higher rates further slow the economy and potentially lead to job losses.