US Fed expects growth surge, inflation jump in 2021 but no rate hike

By Howard Schneider and Ann Saphir WASHINGTON (Reuters) - The U.S.

economy is heading for its strongest growth in nearly 40 years, the Federal Reserve said on Wednesday, and central bank policymakers are pledging to keep their foot on the gas despite an expected surge of inflation. "Strong data are ahead of us," a confident Fed Chair Jerome Powell said after a two-day policy meeting, ticking off the list of forces Fed officials expect will produce 6.5% GDP growth this year - from massive federal fiscal stimulus to optimism.....

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