US Treasury head sees solid economic growth in year ahead

US Secretary of Treasury Janet Yellen said Wednesday she expects "solid growth" for the economy in the coming year as the Federal Reserve moves toward lowering record high inflation.

Noting that inflation in the US is "too high," she warned that a potential slowdown in European economies could "spill over" to the US as well, during her speech at the Wall Street Journal's CEO Council meeting.

Yellen, formerly the Fed Chair, also said that she is certain the central bank will use all of its tools to ensure a "soft landing" for economic growth.

The Fed on Wednesday increased its benchmark interest rate by 50 basis points, its steepest rate hike since 2000, which carried the benchmark rate to a range of 0.75% to 1%, from its previous level of 0.25% to 0.5%, in order to fight against record inflation.