Jerome Powell has recalled that he will analyse incoming data, future prospects and the balance of risks between employment and inflation when modifying the price of money.

US Federal Reserve Chairman Jerome Powell told the Senate Banking Committee on Tuesday that the Fed sees the world's largest economy moving at a good pace and is therefore in no hurry to cut interest rates.

"With our monetary policy now much less restrictive than before and the economy remaining strong, we do not need to rush to tighten," Powell said.

The 'guardian of the dollar' has indicated that reducing the reference rate prematurely could hinder the achievements made in terms of inflation. On the contrary, doing so late could weigh "excessively" on economic growth or employment.

Powell also noted that he will analyse incoming data, future prospects and the balance of risks between employment and inflation when changing the price of money.

In this regard, the Fed chairman mentioned in his speech that the issuing institute will be "attentive" to the risks and "uncertainties" for its dual mandate of monetary stability and full employment, which could be interpreted as a veiled reference to the pro-inflationary effect of the tariffs approved by the second Trump Administration.

Powell described the current state of the US labour market as "solid" and said that it is "largely in balance" and does not represent a "significant source of inflationary pressures". He also said that although inflation has converged with the 2% target, it still remains "somewhat elevated".

Her counterpart Christine Lagarde has stated that she is in favour of investigating de-banking, a phenomenon whereby entities exclude individuals or legal entities from the system to avoid reputational damage, such as that resulting from supporting certain political causes or allegedly committing money laundering, even if the evidence is not conclusive.