Minneapolis Fed Chairman Neel Kashkari said Friday he could support another 75 basis point increase by the Fed in July.
“I supported raising interest rates by 75 basis points at this week’s meeting and I could support another such move in July,” Kashkari said.
The Fed chairman of Minneapolis said a “prudent strategy” after the July meeting could be to continue the 50-bp increase. until inflation falls to 2%.
He also said he believed supply-side disruptions would begin to subside next year, allowing the Fed to ease its policy somewhat in 2024.
“However, if the supply side of the economy does not improve or if inflation expectations are driven higher, then we may need to continue raising interest rates beyond my forecasts,” he added.
Source: Capital
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