Fed's Daly: Core services inflation is still rising

• Core services inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term is still rising
• food, energy prices rising high, housing as well – a lot of work to do on inflation
• we will continue to raise rates to right size it
• need to get a little above 3% by year end
• when we get closer to meeting will make a decision on September rate hike
• 50 or 75 basis point is reasonable for September
• need to get rate a little above more above 3% next year
• Fed needs to bridle economy a bit and slow the pace of inflation
• markets have a lack of understanding, but consumers understand that rates won't go down right after they go up
• the raise and hold strategy pays off
• a hump shaped path for rates is not what's on my mind.
• Some cooling of labor market would be welcome
• Fed is committed to price stability
• financial conditions are tightening, we have to keep that in mind
• slower growing global economy will push down on US growth
• don't want to overdo policy and find we've tighten the economy more than necessary
• don't want unforced error, need to balance doing enough with not doing too much

The Fed will continue to tighten rates to make sure inflation is under control. Rates are currently at neutral levels. They need to go higher to slow inflation expectations.

Fed's Daly is the president of the San Francisco Fed. She is not a voting member until 2024.