Boston Fed President Says Another Rate Hike May Be Needed This Year to Curb Inflation

Boston Fed President Susan Collins said further rate hikes may be needed before the end of the year to help curb inflation. "I currently also expect that, to ensure inflation returns to the Committee's 2% target in a timely and lasting way, it will be appropriate to raise rates a bit further before the end of the year," Collins said in remarks prepared for a banking conference hosted by the Boston Fed. Collins cautioned that her views on whether further rate adjustments are needed and the timing of action will depend on upcoming data. The minutes of the Fed's September meeting showed that the decision to raise rates by 25 basis points that month won unanimous support from 19 policymakers. Fed Chair Kevin Warsh said the rate hike was intended to remove "a dose of accommodation."