Fed's Powell announces adjustments to the policy framework in response to the altered economic landscape

Acknowledging the substantial transformations in the economic environment over the past five years, Federal Reserve Chair Jerome Powell announced on Friday a revised operating framework for the U.S. central bank. This new framework takes into account the resurgence of higher inflation pressures and the diminished likelihood of maintaining near-zero short-term interest rates.

In a speech to be presented at the Jackson Hole economic symposium in Wyoming, Powell remarked that "there is a great deal of continuity with past statements" within the updated framework.