FOMC Chairman Jerome Powell comments on the policy outlook after the Federal Reserve's decision to raise the policy rate by 25 basis points to the range of 5-5.25% following the May policy meeting.

Key quotes

"There are no promises, but it's possible we can continue to have labor market cooling without big increases in unemployment."

"Case of avoiding recession is more likely than having a recession."

"If we have recession, would hope it would be mild."

"Do not think wages are principle driver of inflation."

"As goods pipelines get back to normal, will see prices, corporate margins coming down."

"A particular focus now and going forward is what's happening with credit tightening."

"Need to factor credit tightening into whether our policy stance is sufficiently restrictive."

"Would not be appropriate to cut rates, given our view that inflation will take some time to come down

"Non-housing services inflation hasn't moved much."