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Jerome Powell says disinflationary process ‘has a long way to go' as Biden is set to tout economic record at State of Union address
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It seems that the US is trying to be clear about the future direction of monetary policy with Federal Reserve chair, Jerome Powell saying that the disinflationary process has "a long way to go". In short, don't expect interest rates to come down in the immediate future.
From a US perspective, this implies that the Fed is intending to be hawkish and not allow inflationary expectations to remain high. From a global perspective though, it's also bad news for developing economies that have high levels of debt and thus, by definition, high levels of debt interest repayments.