US economy: Warsh signals readiness for interest rate hike
New Fed Chairman Warsh had already announced that he would be departing from the previous communication style. What has he announced now?
Federal Reserve Chairman Kevin Warsh signaled a willingness to tighten monetary policy to combat high inflation in the US. He stated that the core inflation rate must clearly and quickly approach the target of 2% and that the Fed still has work to do if it doesn't. Despite a slight easing in recent economic data, Warsh sees no change in the underlying trend, with the inflation rate at 3.4% in July, still above the target.
The Fed may raise interest rates to curb inflation, with some members of the central bank's council already open to a rate hike by the end of the year.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
