Powell says spike in inflation lasting longer than expected

By MARTIN CRUTSINGER
AP Economics Writer

WASHINGTON (AP) — Federal Reserve Chairman Jerome Powell is preparing to tell Congress that the current spike in U.S. inflation has proven to be larger and more long-lasting than expected. But he is due to say that if inflation does not abate, the Fed is ready to use its tools to lower the pressure on prices. Powell’s comments came in remarks the Fed chief is scheduled to deliver Tuesday when he appears with Treasury Secretary Janet Yellen at an oversight hearing on the government’s massive support programs passed to deal with the COVID pandemic. The Fed made Powell’s remarks public late Monday.