Fed’s Harker lifts his forecast to 3 rate hikes this year – report
Philly Fed’s Patrick Harker spoke in an interview with the WSJ
- Previously projected two rate hikes
- Cites stronger inflation for the reason of changing his forecast
- “We saw some firming of inflation”
- Says that he places greater emphasis on inflation data than on fiscal policy
- Risk of increased trade tariffs presents one source of uncertainty to projections and policy
The full transcript can be found
here (may be gated).
here (may be gated).
Do note that Harker isn’t a voting member of the FOMC board this year. Well, his comments seem aptly timed as the Fed’s preferred inflation measure (PCE deflator) will be out later today at 1230 GMT.
A hawkish tilt on the comments, but it’s hard to look past the fact that he isn’t a voting member this year – though he still does participate in the meetings and gives his view.
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