Neel Kashkari, the president of the Federal Reserve Bank of Minneapolis, has warned that the Central Bank is “far, far away from” beating inflation, despite the recent victory laps from the White House.
A key inflation gauge dropped slightly in May but remains stuck at a level that is more than double the target set by the Federal Reserve.
The UK’s central bank has raised its benchmark interest rate for the fifth time in a row as the country battles to tame the nation’s cost-of-living crisis.
Federal Reserve Chairman Jerome Powell has warned that the central bank will continue raising interest rates to combat elevated inflation until it comes down.
This week’s two-day Federal Reserve policy meeting is a major focus point for investors, with markets expecting the central bank to press ahead with a sharp rate hike in an effort to relieve surging inflationary pressures.
Federal Reserve Bank of St. Louis President James Bullard is calling for the Fed to raise interest rates above three percent before the end of 2022.
Consumer prices in America have skyrocketed to the highest rate in 40 years as inflation explodes under Democrat President Joe Biden’s economy.