Fed Chairman Powell: A half-percentage point interest rate hike is 'on the table' for May

A half-percentage point interest rate hike is officially on the table, Federal Reserve Chairman Jerome Powell said Thursday, as the central bank prepares to get inflation under control.

"50 basis points will be on the table for the May meeting," Powell said during a panel at the International Monetary Fund Debate on the Global Economy.

In March, the central bank raised interest rates by a quarter-percentage point to a range of 0.25% to 0.5% in its first hike since 2018. Investors unanimously expect a bigger rate increase at the bank's early May meeting, according to the CME's FedWatch Tool.