Fed Governor Michelle Bowman Advocates Further Interest Rate Raises to Tackle Inflation
Federal Reserve Governor Michelle Bowman emphasized the potential necessity of additional interest rate increases to effectively address inflation and align with the Fed’s 2% target.
Speaking at an event hosted by the Kansas Bankers Association in Colorado, Bowman expressed her support for the rate hike decision made during the recent Federal Open Market Committee (FOMC) meeting. The decision resulted in the federal funds rate reaching its highest level in 22 years, ranging from 5.25% to 5.5%.
Bowman highlighted the importance of consistent evidence of inflation progress and mentioned her vigilance in observing indicators of potential slowdown in consumer spending and labor market conditions. She reaffirmed the Fed’s commitment to closely monitoring data and making necessary adjustments to interest rates to ensure sustained progress in inflation.
Federal Reserve Chairman Jerome Powell echoed these sentiments, emphasizing that the ongoing need for restrictive monetary policy remains until achieving sustainable progress towards the 2% target.
Clever Robot News Desk 9th August 2023
Related Article
