Kugler, Fed says there should be interest rates between inflation risks

Inflation, although the prices can be re-redeemed, the Federal Reserve Governor Adriana Kugler warned the US Central Bank to continue interest rates for this period.

“I am very worried about some perseverance in some inflation in the inflation we see,” he said.

This indicates the last time of inflation expectations to accelerate that the prices of enterprises and how the prices of businesses informed how employees had their negotiations. This, in turn, means they can be fed back to inflation.

With the latest concerns, increasing concerns, compared to consumer prices for consumers Consumer Confidence Index From the Conference Office indicator 12-month inflation expectations went to 6% in February and above 5.2% of the previous month.

“I really have been one of those who support any policy that keeps inflation expectations well. I think it’s critical and served us well,” Kugler said.

Fed’s Kugler, who looked up, said prices could rise again.

“I think I believe that after that, the price can increase and more sustainable inflation,” he said.

Kugler noted that such politics may also affect economic activity.

“Probably, some of I have to take into account these perseverance, because it is potentially because there are some new policies in front of us, because of inflation expectations and potentially,” Kugler.

The developments, which touched the events that touch the tariffs from the main trade partners of the US administration, including the tariffs related to negotiations and potential revenge transmission, said Fedin Kugler is still “significant uncertainty”.

Analysts and economists expressed their expectations and expected any mutual measures to make the prices higher for the countries on both sides of the measures.

In the current situation opinion Kugler gave at the conference, and at the same time warns inflation risks, as well as warn of Fed to interest rates.

“Given the latest increase in inflation expectations and not progress towards our target of 2 percent, it has been a while, it has been expedient to continue the policy rate at the current level,” he said.

Fed has cut interest rates three times since September, for a combined full interest point, continuously January. The amount of debt in the bank for a long time is currently located in a number of 4.25% -4.5%.

According to CME Group Fedwatch ToolThe traders took the final price in 97% of the central bank when the next after the next after the next. The picture seems less clear, about 63% of about 63% is held at the Fed’s May meeting in the Fed’s May meeting before a ratio in June.