Federal Reserve Chair Jerome Powell stated that recent inflation data may not signify more than a temporary increase, emphasizing the need for sustained inflation decline toward 2%. Powell highlighted solid economic growth, a labor market in transition, and the potential for rate cuts this year. He mentioned the Fed's approach of assessing incoming data to guide policy decisions and the importance of maintaining confidence in inflation trends. Powell also acknowledged the risks of adjusting rates prematurely or delaying action, underscoring the uncertainty in the economic outlook.