Fed's Logan Urges 2 More 25-Basis-Point Hikes as Core Inflation Runs Above 4%
Updated
Updated · Reuters · Nov 10
Fed's Logan Urges 2 More 25-Basis-Point Hikes as Core Inflation Runs Above 4%
3 articles · Updated · Reuters · Nov 10
Summary
Lorie Logan said the Fed should deliver at least two more quarter-point rate increases and may need to move faster this winter to stop inflation from becoming entrenched.
October core consumer prices rose 0.3%, a pace Logan said would translate to inflation above 4% if sustained, still far above the Fed's 2% target.
Logan backed the Fed's decision to skip a hike last month after a September increase, saying gradual moves had helped households, businesses and markets adjust without unnecessarily hurting growth.
The next test for that stance comes at the Fed's Dec. 8-9 meeting, where Logan said the pace of any further tightening will depend on near-term economic and financial conditions.