Federal Reserve Vice Chair Philip Jefferson said the central bank should consider raising interest rates if inflation doesn't cool soon, though he described current policy as well positioned for now, Bloomberg News reported Thursday.
Speaking at an event in Stanford, California, Jefferson said the Fed's rate setting will likely support the labor market while allowing inflation to fall, but added it "could be appropriate to reconsider" the policy stance if inflation doesn't ease, according to the report.
Dallas Fed President Lorie Logan, a voter on the rate-setting committee this year, became the first Fed official to call for higher interest rates, saying inflation doesn't appear to be headed sustainably back to the central bank's 2% target, the report said.
Investors have dropped bets for a rate increase at the Fed's July meeting following softer-than-expected June price data, but still anticipate a hike later this year, the report added.
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