Federal Reserve , Likely Not Finished With , 2023 Rate Hikes.
NBC reports that another rate hike by the
Federal Reserve could be coming in September
as the Fed continues to fight inflation.
According to Michelle Bowman, a member of the
Board of Governors of the Federal Reserve System, , "additional rate increases will likely be needed to get inflation
on a path down to the FOMC’s 2 percent target.”.
According to Michelle Bowman, a member of the
Board of Governors of the Federal Reserve System, , "additional rate increases will likely be needed to get inflation
on a path down to the FOMC’s 2 percent target.”.
Bowman reportedly cited persistently high inflation,
increased consumer spending, a rebounding housing
market and a strong labor market as pushing rates higher.
Bowman reportedly cited persistently high inflation,
increased consumer spending, a rebounding housing
market and a strong labor market as pushing rates higher.
She added that the Fed's monetary policy
is not on a "preset course," stressing that data
will determine future decisions on rate hikes.
We should remain willing to raise
the federal funds rate at a future meeting
if the incoming data indicate that
progress on inflation has stalled, Michelle Bowman, Member of the Board of Governors
of the Federal Reserve System, via NBC.
NBC reports that Bowman's comments suggest that the
Fed will have to increase the rate above the 5.6% that
policymakers established in a late-July meeting.
The recent lower inflation reading was
positive, but I will be looking for consistent
evidence that inflation is on a meaningful
path down toward our 2 percent goal as
I consider further rate increases and how
long the federal funds rate will need
to remain at a restrictive level, Michelle Bowman, Member of the Board of Governors
of the Federal Reserve System, via NBC.
I will also be watching for signs
of slowing in consumer spending
and signs that labor market
conditions are loosening, Michelle Bowman, Member of the Board of Governors
of the Federal Reserve System, via NBC.
On August 4, the Labor Department released its
monthly job report, showing that hiring had slowed
in June while unemployment lingered at 3.5%.
However, NBC reports that Bowman also noted
that there are still not enough workers
to fill the number of available jobs.