, Columnist
Neel Kashkari Says the Quiet Part Out Loud on Markets
The Minneapolis Fed president makes it clear that markets need to go down, and that’s exactly what policy makers want.
Sending a clear message.
Photographer: Andrew Harrer/BloombergThis article is for subscribers only.
Neel Kashkari, the president of the Federal Reserve Bank of Minneapolis, just said what markets have long suspected but what active central bankers haven’t dared to admit: Markets need to go down — in fact, that’s the point of the Fed’s interest-rate increases and marathon jawboning. And that was the objective of Fed Chair Jerome Powell’s annual speech in Jackson Hole, Wyoming, which triggered the worst equity market selloff since June.
Here’s Kashkari’s quote to Bloomberg’s Odd Lots podcast with Joe Weisenthal and Tracy Alloway: