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Barkin: Need To Be Convinced Of Need For 50bp Hike

FED

Comments from Richmond Fed President Barkin (’24 voter, hawk) were nowhere near as hawkish as ’22 voter Bullard’s Thursday utterances. Barkin noted that he would need to be convinced re: the need for a 50bp hike in March, although he is “conceptually” open to the idea of 50bp rate hikes. He stressed data dependence when it comes to the scope for rate hikes, while pointing to the need for a “substantial reduction” in the balance sheet, suggesting that the first steps on that path could take place “soon after” hiking rates. Barkin also flagged hope that rates will return to pre-COVID levels “relatively quickly.”

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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