(Finance) – The Federal Reserve must bring inflation back under control. The interest rate hike in September will be 0.5% or 0.75%. Thus the president of the Philadelphia Fed, Patrick Hacker to the microphones of Cnbc from Jackson Holethe annual symposium where central bankers, economists and investors discuss the complex moment of the economy and world markets.
For the Fed official there is not a high risk of a deep recession. “If this is a recession – said Hacker – it is a strange recession. There doesn’t seem to be a recession given the strength of the labor market“.
Investors’ eyes remain on the meeting in Wyoming and await indications on the magnitude of the Fed’s next hikes in the cost of money amid still rising inflation. The speech of the Fed chairman, Jerome Powellis scheduled for tomorrow afternoon (at 4 pm Italian time).
According to insiders, the governor should confirm the approach taken in the latest statements, namely the need to maintain a restrictive monetary policy, to fight accelerating prices, without causing a recession in the country, which as stated by Hacker “is not visible. “.
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