At a European Central Bank forum in Sintra, Portugal, Federal Reserve Chairman Jerome Powell said that a strong case for an additional interest rate hike is set to come later this year. 

Powell said that low unemployment coupled with robust economic growth could warrant an additional rate hike–the statement comes just a week after raising the federal funds rate 25 basis points from 1.75 to 2–the second rate hike this year.

“With unemployment low and expected to decline further, inflation close to our objective, and the risks to the outlook roughly balanced, the case for continued gradual increases in the federal funds rate is strong,” Powell said.

Related: Does Strong Jobs Data Equal Further Rate Hikes?

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