Patrick Harker, president and CEO of the Federal Reserve Bank of Philadelphia
- I expect 50 bps rate hikes in June and July
- after that I anticipate a sequence of 'measured' rate hikes until we are confident inflation is moving toward 2%
- sees 3% US. GDP growth this year, job market tight through 2022
- inflation is a scourge, and an urgent problem
- elevated energy prices could be with us for a while
50bps at the next two meetings is being repeated by many Fed officials. Harker the same, and 'measured' moves after that. 'Measured' is being read as 25bp hikes. Chicago Fed head Evans said similar yestreday:
- More Fed's Evans: Expects transition to talking about 25bp hikes by July or September
- More from Fed's Evans - short-term neutral rate may be higher than long-run rate
- Fed's Evans calls to raise interest rates to 2.25% - 2.5% quickly
Curiously though, Fed Chair Powell wasn't quite so 'measured' in his remarks Tuesday:
- Powell: “We need to see inflation coming down ... Until we do, we’ll keep going.”
- “This is not a time for tremendously nuanced readings of inflation. We need to see inflation coming down in a convincing way. Until we do, we’ll keep going.”
FOMC meetings ahead:
