Fed’s Bostic Favors Holding Rates Above 5% for ‘a Long Time’
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Atlanta Fed President Raphael Bostic said the central bank should raise interest rates above 5% by early in the second quarter and then go on hold for “a long time.”
“We are just going to have to hold our resolve,” he told the Atlanta Rotary Club on Monday. Bostic said the Fed was committed to tackling high inflation and this warrants raising interest rates into a 5% to 5.25% range to squeeze excess demand out of the economy.