Fed’s Kugler Supports Holding Rates Amid Higher Inflation Risks

Federal Reserve Governor Adriana Kugler said it’s appropriate to keep interest rates unchanged until upside risks to inflation abate, pointing to government policy changes, the recent lack of progress on cooling price growth and rising inflation expectations.

“I will support maintaining the current policy rate for as long as these upside risks to inflation continue, while economic activity and employment remain stable,” Kugler said in prepared remarks for an event Wednesday. “Going forward, I will carefully assess incoming data, the evolving outlook and changes in the balance of risks.”