Powell says 'stagflation' is a 1970s term, not what we face today

WASHINGTON, March 18 (Reuters) - Federal Reserve Chair Jerome Powell said ‌on Wednesday that the current ‌U.S. economic situation, even with the Iran ​war-induced spike in energy prices was far removed from the "stagflation" of the 1970s, with current inflation only ‌one percentage ⁠point above target and low unemployment.

I would reserve the ⁠term stagflation for, you know, a much more serious set ​of circumstances. ​That is ​not the situation ‌we're in," Powell told a news conference after the Fed held policy rates steady.

"What we have is some tension between the goals ‌and we're trying to ​manage our way ​through it," ​Powell added. "It's a very ‌difficult situation, but it's ​nothing ​like what they faced in the 1970s and I reserve stagflation ​for ‌that -- the word -- for that ​period. Maybe that's just me."

(Reporting ​by David Lawder)