Federal Reserve Chair Jerome Powell told lawmakers the central bank is not rushing to lower interest rates, pointing to still-elevated inflation and a labor market that remains firm. His comments suggest policymakers want more evidence that price growth is cooling before easing borrowing costs.

Powell’s remarks reinforce the Fed’s cautious stance after a stretch of stubborn inflation readings. While many investors have been watching for signs of a pivot, the central bank appears focused on avoiding a premature move that could reignite price pressures.

The Fed chair also highlighted the strength of the job market, which gives officials more room to wait. For households and businesses, that means borrowing costs may stay high for longer as the central bank keeps inflation control at the top of its agenda.