Monetary policy

The Federal Reserve will likely have to keep raising interest rates to rein in price growth, which could slow economic expansion and affect the jobs market, Governor Michelle Bowman said.

"We actually are increasing the odds — we can get a soft landing. That doesn't mean we're out of the woods," Harker said.

The central bank has raised rates aggressively for nearly a year, but experts believe the hiking cycle is nearly over.

Federal Reserve Bank of New York President John Williams said forecasts officials submitted in December are still a good guide for where interest rates are headed this year and that policy may need to stay at restrictive levels for a few years to get inflation down.

"We think we are going to need to do further rate increases," Powell said Tuesday.

"We need to raise rates aggressively to put a ceiling on inflation, then let monetary policy work its way through the economy," Kashkari said.

Federal Reserve Bank of Atlanta President Raphael Bostic said January's strong jobs report raises the possibility that the central bank will need to increase interest rates to a higher peak than policymakers had previously expected.

Analysts opine on the Federal Open Market Committee meeting, how high interest rates will go and when the first cut may happen.

Speaking at an event hosted by the Council on Foreign Relations, Federal Reserve Gov. Christopher Waller said the Federal Reserve has a long runway for its balance sheet reduction.

Kansas City Fed President Esther George said officials don't want to raise interest rates by so much that policy becomes overly restrictive and the economy can avoid a sharp downturn.