Aug. 27 (UPI) -- Federal Reserve Chairman Jerome Powell announced a major change in economic strategy Thursday, which will allow periods of higher inflation to support broad market goals.
Calling the move a "robust updating" of the Fed's approach, Powell said the revised policy will allow "average inflation targeting," meaning inflation will be allowed to rise "moderately" higher than the longtime target of 2%, if needed to balance out long periods of sub-2% levels.