Kashkari says the Fed must keep tightening until there is strong evidence of lower inflation

Chairman of the Minneapolis Federal Reserve Neel Kashkari said the US central bank should tighten monetary policy until core inflation comes down, then wait to see if it has done enough.

« The one mistake I’m fully aware of – which I want to avoid repeating since the 1970s – is when policymakers saw the economy weaken, saw inflation start to come down, and then they cut rates , thinking they had done the job.. And then inflation shot up again – this is, I believe, a mistake we cannot and will not make,” Kashkari said on Tuesday. at an online event hosted by the Wall Street Journal.