Federal Reserve Chairman Jerome Powell on Wednesday acknowledged that an aggressive course of interest-rate hikes to tamp down inflation could tip the U.S. economy into a recession, although doing so is not the central bank's intention. "It's not our intended outcome at all, but it's certainly a possibility," Powell told a congressional hearing that took place a week after the Fed moved ahead with its largest interest-rate hike since 1994 to address the highest inflation in decades. While reiterating his resolve to bring prices back down, the Fed chief emphasized that the American economy is "...
