Fed Chair Jerome Powell on Wednesday said in the post-Fed meeting press conference that demand in the US economy is still very hot and the Fed would like to see this moderate, reported Reuters.

Additional Remarks:

• "We'd like to see labor market in better balance."
• "The neutral rate is pretty low these days."
• "We are not going to be model driven."
• "The data shows that inflation expectations are still in place where short-term inflation is high but comes down sharply over the medium term."
• "Last week's University of Michigan inflation reading was quite eye-catching."
• "We also noticed the Fed's inflation expectations have moved up."
• "We felt we had to take that seriously."
• "Inflation expectations were a factor in today's decision."
• "We will react to incoming data."
• "We don't know how restrictive we need to be."