Kashkari Says Inflation Still Too High at 3% as Fed Signals Another Rate Hike
Updated
Updated · CNBC · Sep 30
Kashkari Says Inflation Still Too High at 3% as Fed Signals Another Rate Hike
2 articles · Updated · CNBC · Sep 30
Summary
Neel Kashkari said Wednesday that cooler August PCE data did not change his view, arguing inflation is still running around 3% and remains too high.
The Fed's preferred inflation gauge came in softer than economists expected, with core PCE at a 3% annual rate excluding food and energy.
Kashkari said other data released Wednesday on consumer spending and GDP showed a resilient economy, suggesting demand has not cooled enough to ease price pressures.
The comments reinforce the Fed's hawkish stance after this month's first rate hike in three years, with policymakers already signaling another increase could follow.