- Says he doesn't have 'heartburn' about getting to peak 3.75-4.00% Fed funds rate by year-end or January
- Dollar strength shows confidence Fed will get inflation back down
- Hopeful that unemployment won't do all the work in lower inflation
- Would prefer to raise rates and hold for some time, rather than raise and cut
Evans says he will monitor the breadth of inflation and if anything surprises on wages then they may need to get to the peak rate sooner. Signs of cooling won't change the need for a terminal 4% rate but might not be as soon.
Evans is retiring but he's a very good barometer for the Fed core and it sounds like the path is set on getting to 4%.
More:
- Upcoming Aug CPI report could be informative for FOMC
- Overtightening a concern once rates get to 3.5% range