Fed's Musalem Favored Rate Hike at Recent FOMC Meeting, Cites Inflation Risks
St. Louis Fed President Alberto Musalem said he preferred raising interest rates at the last FOMC meeting, arguing there is a higher chance inflation will persist above target and that gradual hikes are less costly than abrupt changes.
St. Louis Federal Reserve President Alberto Musalem revealed that he argued for a rate increase at the most recent FOMC meeting. He assessed a greater likelihood that inflation will stay above the central bank's target, necessitating tighter policy.
Musalem cautioned that adjusting rates gradually is less economically damaging than implementing sudden, sharp moves.
Source: First Squawk