Economics
Fed’s George Says ‘Rough’ Market Won’t Alter Rate Hike Plan
- Kansas City Fed leader supports half-point hikes, she says
- In CNBC interview, George says market drop is not a surprise
Esther George
Photographer: Daniel Brenner/BloombergThis article is for subscribers only.
Federal Reserve Bank of Kansas City President Esther George said the “rough week in the equity markets” was not surprising, partially reflecting the central bank’s policy tightening, and doesn’t alter her support for half-point interest-rate hikes to cool inflation.
“I think what we are looking for is the transmission of our policy through markets understanding, and that tightening should be expected,” George said Thursday in a CNBC interview. “It is one of the avenues through which tighter financial conditions will emerge.”