Neel Kashkari, Chairman of the Minneapolis Federal Reserve, said on Thursday that the U.S. central bank will do “everything possible to achieve a soft landing” for the economy, keeping inflation in check but not causing a contraction. He spoke at the Urban Institute’s virtual event, as he has no voting rights on this year’s monetary policy decisions.
Kashkari said there is “some evidence” that the United States is in a regime of “higher inflation in the long run”.
If so, the Fed “may have to be more aggressive in tightening monetary policy,” he said.
The manager said he was from the highest flank. pigeon In the absence of high inflation to support the economic picture, the Fed’s
Now, he argued, the situation is different, so monetary tightening is needed to guarantee the fall in inflation.
He also said that it is not currently possible to know how much interest rates would have to increase to bring inflation to the Fed’s 2% target.
source: Noticias
