Jerome Powell warns there’s ‘no risk-free path’ to avoid stagflation: ‘We have a situation where we have two-sided risk’

FortuneWednesday, September 17, 2025 at 8:21:48 PM
Jerome Powell warns there’s ‘no risk-free path’ to avoid stagflation: ‘We have a situation where we have two-sided risk’
Jerome Powell, the chair of the Federal Reserve, has issued a stark warning about the risks of stagflation, emphasizing that there is no risk-free path to navigate the current economic challenges. He described the situation as quite unusual, highlighting the dual risks that policymakers face. This matters because stagflation could lead to prolonged economic stagnation and rising inflation, impacting jobs and consumer spending.
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