Economics
Fed’s Kashkari Says Powell ‘Coming Around’ to Wait-and-See View
- Minneapolis Fed chief says U.S. economy fundamentally healthy
- Comments come after central bank paused rate hikes at meeting
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Federal Reserve Bank of Minneapolis President Neel Kashkari said Fed Chairman Jerome Powell is “coming around” to the view to wait until wages and inflation rise before raising interest rates again, and that the Fed’s latest pause will help keep a “fundamentally healthy” economy on track.
“There are more people out there who want to work; let’s let the economy continue to strengthen and if we see signs then, wages pick up, inflation picks up, we can always tap the brakes,” Kashkari said Sunday at an event hosted by the Trinity Lutheran Church in Long Lake, Minnesota. “Let’s just not tap the brakes prematurely.”