Kansas City Fed President George George said the Fed has not raised interest rates to depressive levels and may need to move them above 4% for the foreseeable future.
“It’s very important to be very clear about where we’re going,” George said in an interview with Bloomberg Television in Jackson Hole, Wyoming. I need to lift it,” he said.
Governor George in an interview with Bloomberg Television
Source: Bloomberg
An interview with the voting president at this year’s Federal Open Market Committee (FOMC) was recorded on Thursday. Federal Reserve Chairman Jerome Powell will speak at the Kansas City Fed’s annual symposium on Wednesday.
Asked how high interest rates should be raised, George put a check on financial market speculation that the Fed would start cutting interest rates next year, saying: “There’s still some room to go. I think it could go beyond 4%. It’s out of the question.” I don’t think so,” he replied.
Although there are some signs that demand is cooling, he said, “Inflation figures are not well reflected. We hope financial conditions will tighten.”
Original title:George Says Fed Has to Get Rates Higher to Slow Down Demand(excerpt)