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Fed Cook: Warns rate hike possible as inflation worsens

Fed Governor Lisa Cook crossed the wires, saying the right course of action is to keep rates steady due to upside risks to inflation, which is moving in the “wrong direction.”

Cooks seems open to moving in either direction, noting that if the disinflation process doesn’t resume, she is ready to raise rates. Conversely, added that she would be prepared to cut “if the labor market deteriorates.”

Key highlights:

RIGHT COURSE OF ACTION IS TO HOLD RATES STEADY

RISKS ARE TILTED TOWARD HIGHER INFLATION; INFLATION CLEARLY MOVING IN WRONG DIRECTION

PREPARED TO RAISE RATES IF EXPECTED DISINFLATION DOESN'T APPEAR IN A TIMELY MANNER

WOULD BE PREPARED TO CUT RATES IF LABOR MARKET DETERIORATES

EVEN TEMPORARY SHOCKS COULD PUSH UP INFLATION IN MEDIUM TERM

SHOCKS PUSHING UP INFLATION SHOULD IN THEORY BE TEMPORARY

AI JOB LOSS COULD PRECEDE AI JOB GAINS

OPTIMISTIC ON ECONOMIC GROWTH, EXPECT AI TO BOOST PRODUCTIVITY

LABOR MARKET 'LARGELY STABLE' BUT DOWNSIDE RISKS ARE ELEVATED

AI MAY ENHANCE FINANCIAL STABILITY, IMPLICATIONS OF AI FOR CYBERSECURITY UNCLEAR

US Dollar Price Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the Australian Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD0.02%0.11%0.16%0.16%0.37%-1.14%0.14%
EUR-0.02%0.10%0.13%0.16%0.31%-1.16%0.12%
GBP-0.11%-0.10%0.02%0.05%0.24%-1.24%0.04%
JPY-0.16%-0.13%-0.02%0.02%0.20%-1.24%0.00%
CAD-0.16%-0.16%-0.05%-0.02%0.19%-1.25%-0.01%
AUD-0.37%-0.31%-0.24%-0.20%-0.19%-1.46%-0.17%
NZD1.14%1.16%1.24%1.24%1.25%1.46%1.29%
CHF-0.14%-0.12%-0.04%-0.01%0.00%0.17%-1.29%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

Author

Christian Borjon Valencia

Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.

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