Powell expressed confidence that inflation will continue its downward trend towards the Federal Reserve’s 2 percent target. He added that current economic conditions “set the table” for further easing of price pressures.

Federal Reserve Chair Jerome Powell on Monday said the U.S. economy is in "solid shape" and that more interest rate cuts can continue if the economy continues to evolve as expected.

Powell said the economy is largely healthy and the Fed is “recalibrating” its key interest rate, not rapidly cutting it. Interest rates influence mortgage rates.