Asian stocks mostly rise as Powell rate warning taken in stride

HONG KONG, Feb 12 (AFP): Most equities rose in Asia on Wednesday as traders took in their stride a warning from Federal Reserve boss Jerome Powell that the US central bank "did not need to be in a hurry" to cut interest rates again.

The remarks, reflecting similar sentiments from another top monetary policymaker, came a day before the release of closely watched inflation data and reinforced expectations that borrowing costs would likely remain elevated for some time.

Asia's gains came despite worries about where US President Donald Trump's next tariffs salvo will land after he imposed 25 percent duties on aluminium and steel imports and said he was considering further measures.

Powell told lawmakers at a congressional hearing that with policy "now significantly less restrictive than it had been and the economy remaining strong, we do not need to be in a hurry to adjust" rates.

"We know that reducing policy restraint too fast or too much could hinder progress on inflation," he said. "At the same time, reducing policy restraint too slowly or too little could unduly weaken economic activity and employment."

The Fed cut rates three times last year as inflation continued to slow and the labour market softened but expectations for more reductions over the next 12 months have been pared because progress is slow.