Prices climbed slightly in August as Fed weighs interest rate increase

CEI’s Monetary Policy Analyst Steve Swedberg was cited by the Washington Times regarding inflation.

Forecasters say the Fed could increase rates slightly to tame inflation, even as Mr. Trump pushes for a cut. 

“The CPI figures underscore how the Fed is between a rock and a hard place,” said Steve Swedberg, a finance and monetary policy analyst at the Competitive Enterprise Institute. “If inflation remains elevated, cutting rates could make it harder to convince markets and households that the Fed is serious about restoring price stability. But resisting calls for lower interest rates means accepting the political and economic consequences of tighter monetary policy.”

White House National Economic Council Director Kevin Hassett said inflation is de-accelerating overall, despite the slight uptick in August.

Read the full article at the Washington Times.