Jerome Powell, chairman of the Federal Reserve, will imply that the central bank could raise the rate of interest rate hikes if statistics indicate continued price pressures, according to a statement released Tuesday ahead of his hearing before Congress.

“If the facts show that a faster rate of tightening is appropriate, we are prepared to raise the rate of interest rate increases,” he remarked. “Restoring price stability will probably necessitate a protracted period of restrictive monetary policy.”

Powell admitted that inflation has slowed since the middle of last year but remains above the FOMC’s 2 percent long-term goal. In addition, he stated that there had been “few indications of deflation in the category of core services, excluding housing, which accounts for more than half of core consumer spending.”

According to the chair of the Federal Reserve, a weakening labor market is likely required to reduce inflation in core services. Recent nominal wage gains have slowed but remain “beyond what is consistent with 2% inflation and present trends in productivity,” according to Powell.

High pay growth is beneficial for employees, but only provided it is not eroded by inflation.