The Federal Reserve has voted to raise U.S. interest rates for the third consecutive time, bringing the cost of borrowing money from the Treasury above 3%. Fed Chair Jerome Powell acknowledged Wednesday that the move could lead the U.S. into a recession, but said the need to battle inflation outpaced the prospect of an economic slowdown. Powell said the U.S. housing market is headed for a “correction,” and said U.S. unemployment remains too low, with demand for labor outpacing supply.

Jerome Powell: “The labor market continues to be out of balance, with demand for workers substantially exceeding the supply of available workers.”

The Fed’s interest rate hikes have prompted fierce criticism from progressives and union leaders. Massachusetts Democratic Senator Elizabeth Warren tweeted, “I’ve been warning that Chair Powell’s Fed would throw millions of Americans out of work — and I fear he’s already on the path to doing so.”