Economic Buzz: Bullard Says Fed Rate Would Need To Reach At Least Bottom End Of 5%-7% Range

29 Nov 2022 , 12:19 PM

St. Louis Fed President Jim Bullard talked about the level of the policy rate needed to put sufficient downward pressure on inflation. Citing his November 17 presentation to Greater Louisville Inc., Bullard reiterated that the policy rate would need to reach at least the bottom end of a 5% to 7% range to be sufficiently restrictive, given the data the Federal Open Market Committee has today. I also think that were going to have to continue to pursue our interest rate increases into 2023, and theres some risk that well have to go even higher than the lower end of that range as we go through 2023 if the inflation data in particular does not cooperate with us, Bullard said. Rates may have to stay in the restrictive range throughout 2023 and into 2024, he added.Powered by Commodity Insights