Fed’s Daly: open to 75 bps rate hike in Sept – Bloomberg interview
2022.08.12 03:05
FILE PHOTO: San Francisco Federal Reserve Bank President Mary Daly poses at the bank’s headquarters in San Francisco, California, U.S., July 16, 2019. REUTERS/Ann Saphir
(Reuters) – San Francisco Federal Reserve Bank President Mary Daly said on Thursday that a 50 basis point interest rate hike in September “makes sense” given recent economic data including on inflation, but that she is open to a bigger rate hike if data warrants.
Saying that she does not want to be “headfaked” by the recent improvement in inflation readings, Daly told Bloomberg TV in an interview that she has an “open mind” on the possibility of a 75 basis point hike.
Financial conditions need to remain tight to continue to bridle economic growth and bring down inflation, she said.
