Boston Fed’s Collins Says Fed May Need Rate Hikes if Inflation Persists
Boston Fed President Susan Collins said the Federal Reserve should keep interest rates on hold for “some time,” describing current policy as well positioned but warning it may need to remain restrictive for an extended period. She said the central bank could still have to raise rates if inflation persists and said elevated inflation remains a particular concern.
Collins said inflation remains the Fed’s top concern and warned energy shocks tied to Middle East tensions could make expectations harder to anchor. While she still sees room for cuts later, she said inflation is unlikely to ease this year and may only cool meaningfully in 2027, with prolonged conflict increasing risks to both inflation and growth.
From the sources (5 posts)
@businessFederal Reserve Bank of Boston President Susan Collins said interest rates should remain on hold for “some time,” arguing she is particularly concerned about elevated inflation
@firstsquawkFED'S COLLINS SAYS U.S. CENTRAL BANK MAY HAVE TO RAISE INTEREST RATES TO CONTROL INFLATION.
@deitaoneFED'S COLLINS SAYS SHE COULD ENVISION THE NEED FOR RATE HIKES
@deitaoneFED’S COLLINS: INFLATION RISKS KEEP POLICY RESTRICTIVE Boston Fed President Susan Collins said current policy is “well positioned,” but emphasized rates may need to stay restrictive for an extended period—and could even rise if inflation p
@deitaoneCOLLINS: RIGHT NOW FED POLICY 'WELL POSITIONED' TO DEAL WITH RISKS COLLINS: EXPECTS FED WILL NEED TO KEEP RESTRICTIVE POLICY 'FOR SOME TIME'