Fed's Bullard: Seeing two rate hikes in 2022

Eren Sengezer FXStreet

St. Louis Federal Reserve President James Bullard told Fox Business Network on Monday that he sees the Fed hiking its policy rate twice in 2022, as reported by Reuters.

Additional takeaways

"If we had to, we could end the taper somewhat sooner than June."

"If inflation is more persistent, we may have to take action a little sooner."

"We have done a lot to move policy in a more hawkish direction."

"We have quite a bit of inflation."

"I expect supply chain disruptions to extend through 2022."

"I expect a lot of continuity in Fed policy no matter how Fed Chair appointment process works out."

Market reaction

Investors showed little to no reaction to these comments and the US Dollar Index was last seen losing 0.04% on a daily basis at 94.18.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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