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 4.75-5% following the March policy meeting.

Key quotes

"Last two weeks will cause a weigh on demand and inflation."

"Need for further hikes will be based on actual and expected effects of credit tightening in particular."

"Focus is on the words 'may' and 'some' as opposed to 'ongoing' increases."

"Our statement was trying to reflect uncertainty in outlook from banking strains."

"It's possible that banking stresses ebb and we have more work to do; opposite may also be true."

"Possible tightening in credit conditions may mean monetary tightening has less work to do."

"We are really focused on potential credit tightening and what that can produce."

"With banks, we are focused on our financial stability tools."

"At the meeting, I heard a significant number of people anticipating tightening credit conditions."

"This was included in their projections."

"Therefore, they were including that foreceast for tighter credit conditions in their forecasts."

"But banking strains are so recent, there is so much uncertainty."