(Reuters) – The U.S. Federal Reserve should proceed sensibly in raising interest rates as it waits to see if special factors pushing up inflation begin to recede, Chicago Federal Reserve President Charles Evans said on Wednesday.
“I think timing for how monetary policy is responding can be sensible even though we’re currently experiencing very high inflation,” Evans said during an interview hosted virtually by the Peterson Institute for International Economics.
Evans repeated comments he made on Tuesday, reiterating his stance that the Fed will likely raise its policy target range to 2.25%-2.5% by year end and then take stock of the state of the economy, but if inflation remains high would need to hike rates further.
(Reporting by Lindsay Dunsmuir; Editing by Chizu Nomiyama)