Still, "this dovish Fed lean is a fantastic cure-all for what ails stock markets sentiment".
Powell's comments ignited a rally on Wall Street, with the Dow Jones Industrial Average surging more than 200 points after his remarks were released.
The benchmark S&P 500 gained 2.3 per cent to 2,744, and the tech-heavy Nasdaq index added 3 per cent to 7,292.
An afternoon recap of the day's most important business news, delivered weekdays. Investors interpreted as Powell either changing his position on interest rates or attempting to correct the incorrect interpretation of his earlier remarks. That is not what he said.
But with economic growth in the USA and other regions likely to slow down next year, investors are concerned that rising interest rates will hinder the economy and the bull market.
On Wednesday, Steve Keen, the author of "Debunking Economics" and the world's first crowdfunded economist, joined Radio Sputnik's Loud & Clear to discuss the the Federal Reserve's interest rate hikes.
Fed Powell dampens expectations, but multiple rate hikes remain on the table.
Reporting from the club in NY just as Powell's speech was wrapping up, Cheddar's Kristen Scholer said Powell avoided the subject of Trump altogether and fielded no questions about the President's ongoing criticism.
Trump has charged that the Fed is "going wild" and "going loco" and that the rate hikes are threatening to ruin the economic gains generated by his policies, including last year's tax cuts. The Fed's dot plot implies three interest rate hikes in 2019.
Powell insisted there's no preset policy path. "We know that moving too fast would risk shortening the expansion".
While Powell said Fed officials are monitoring these risks, they are not on the whole too anxious about them.
In recent months, the Republican president has repeatedly criticized Powell and the Fed's interest rate increases that he said was making it more expensive for his administration to finance its escalating deficits.
The Fed is also supposed to operate independently of the government, immune from political influence. On Tuesday, Mr Trump stepped up his criticism, saying that he was "not at all happy"...
The Fed is tasked with maximizing employment and stabilizing prices.
Stocks and interest-rate futures jumped in response. My FOMC colleagues and I, as well as many private-sector economists, are forecasting continued solid growth, low unemployment, and inflation near 2 percent.
Hopes that the United States and China could call a trade war ceasefire at the upcoming G20 summit in Argentina also boosted stocks around the globe. He also described the Fed's cautious approach toward raising interest rates as akin to being in a room with furniture when the lights go out and then having to proceed carefully to avoid bumping into anything.
"Hip, hip, hooray, " said Nancy Tengler of Heartland Financial.
That was a marked change from his observation on October 3 that the Fed was "a long way" from neutral. Now he is saying we are close.
This was probably a misinterpretation of Mr. Powell's comments.
The central bank's rate increases have gradually raised borrowing costs for consumers and businesses.
The Fed has been steadily raising those rates since the end of 2015 and is expected to announce another increase in December.