More from Fed’s Kashkari: Fed has more work to do to get inflation under control

Minneapolis Federal Reserve Bank President Neel Kashkari had comments earlier:

More now, this time speaking with Fox:

  • Economy has proved to be very resilient, inflation has come down
  • Making progress on
    inflation, job market is strong
  • Fed has more work to
    do to get inflation under control
  • American consumers
    continue to spend
  • Need to finish the
    job on lowering inflation
  • ‘Nervous’ over
    declaring premature victory over inflation
  • US economy is so far
    ahead of foreign economies

I’m just gonna quietly add down here that I think there is something to be said for the view that the FOMC is not finished yet. Inflation has remained sticky in the US and my very well require a further rate hike (or hikes). Yes, I know the economy is showing signs of easing back and there is a danger of rate hikes while the economy even slows. Thats why the word ‘stagflation’ was invented ;-). Anyway, its too early to talk about that, but if inflation rises the Fed have a further job to do, uglay as it may get for the economy.

This article was written by Eamonn Sheridan at www.forexlive.com. Source