Fed's Harker says expects 'methodical' rate hikes to fight 'too high inflation'

News Image

MG News | April 15, 2022 at 09:13 AM GMT+05:00

0:00

April 15, 2022: Philadelphia Federal Reserve President Patrick Harker on Thursday repeated his view that the U.S. central bank will deliver "a series of deliberate, methodical hikes" to interest rates this year to bring down widespread and "far too high" inflation.

"While the Fed cannot do much to ameliorate the supply issues that are increasing inflation, we can begin to affect demand," Harker said in remarks prepared for delivery at Rider University in Lawrence Township, New Jersey.

The speech reiterated Harker's recent views on the outlook and the effect of tighter monetary policy, which he said will help reduce economic growth this year to around 3.5% and to 2% to 2.5% in the next couple of years.

Inflation too "should begin to taper" this year, he said, ending 2022 at around 4% and over the next couple of years falling to the Fed's 2% target.

Fed policymakers began raising rates last month with a quarter-of-a-percentage point increase, and are expected to accelerate their pace of policy tightening when they next meet in May.

Interest rate futures traders currently expect the Fed to deliver half-point interest rate hikes at its next three meetings before returning to quarter-point hikes for the last three meetings of the year.

That would bring the Fed's policy rate, now in the range of 0.25% to 0.5%, to a range of 2.5% to 2.75% by the end of the year.

Reuters

Related News

Name Price/Vol %Chg/NChg
KSE100 139,684.21
201.16M
0.92%
1271.96
ALLSHR 86,531.32
369.30M
0.97%
828.36
KSE30 42,699.13
83.68M
1.05%
444.29
KMI30 196,932.63
85.28M
1.45%
2823.04
KMIALLSHR 57,446.99
159.51M
1.29%
733.32
BKTi 37,934.01
13.87M
0.27%
102.67
OGTi 28,357.07
35.87M
3.34%
916.44
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 119,530.00 119,785.00
117,905.00
1910.00
1.62%
BRENT CRUDE 72.47 72.82
72.16
-0.77
-1.05%
RICHARDS BAY COAL MONTHLY 96.50 0.00
0.00
2.20
2.33%
ROTTERDAM COAL MONTHLY 104.50 104.50
104.50
-0.30
-0.29%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 70.12 70.41
69.80
0.12
0.17%
SUGAR #11 WORLD 16.51 16.52
16.45
0.06
0.36%

Chart of the Day


Latest News
July 31, 2025 at 12:51 PM GMT+05:00

KIBOR jumps after SBP holds policy rate steady


July 31, 2025 at 12:06 PM GMT+05:00

Crescent Star Insurance resumes 'Guarantee Business'


July 31, 2025 at 12:01 PM GMT+05:00

Bawany Air Products back on PSX Normal Counter


July 31, 2025 at 11:20 AM GMT+05:00

Sitara Peroxide narrows annual loss by 77%



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg