Fed's Daly: Rates will be moved up this year to a level more consistent with where the economy is
San Fransisco Fed President Mary Daly said on Wednesday that interest rates will be moving up this year to a level more consistent with where the economy is, according to Reuters.
Additional Remarks:
"It's too early to call how far rates will need to rise this year."
"We are on a path toward an economy with tighter monetary policy."
"I expect we will start raising rates in March, and will be raising them in subsequent meetings to get closer to neutral."
"How close to neutral rates will get is not certain and will depend on the data."
"I don't see anything right now that would disrupt plans for a March rate hike."
"The geopolitical situation is part of larger uncertainty to navigate, but is not disrupting plans for liftoff."
"Inflation is well above our goal."
"We need to demonstrate that the Fed is committed not to allow perpetuating spiral of inflation."
"Raising rates at least four times would be my preference."
"Most likely it will need more than four rate hikes."
"I am committed to getting demand and supply in balance."
"Raising interest rates isn't slamming the brakes on the economy."
"The last thing you want is an economy that's going too fast."
"We want to gradually move rates up."
"Fed policymakers will deliberate whether balance sheet reductions will start after two rate hikes, or three rate hikes."
Author
Joel Frank
Independent Analyst
Joel Frank is an economics graduate from the University of Birmingham and has worked as a full-time financial market analyst since 2018, specialising in the coverage of how developments in the global economy impact financial asset
