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Waller Supports 50bp Hikes For ‘Several’ Meetings

FED
  • Waller (voter) in prepared remarks: "I support tightening policy by another 50 basis points for several meetings. In particular, I am not taking 50 basis-point hikes off the table until I see inflation coming down closer to our 2% target."
  • "By the end of this year, I support having the policy rate at a level above neutral so that it is reducing demand for products and labor, bringing it more in line with supply and thus helping rein in inflation."
  • *WALLER: READY TO DO MORE IF DATA SHOW INFLATION STUBBORNLY HIGH – bbg
  • It helps support the move higher in hikes implied by FOMC-dated Fed Funds futures, pricing a cumulative 100bps over the next two meetings and 136bps in Sep (+4bps from late Friday) on the way to 187bps to year-end (+5bps).

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