Fed’s Evans Sees Interest Rates at 4.25-4.5% by Year End

Reuters, Sept. 27, 2022–Lindsay Dunsmuir and Catherine Evans
The U.S. Federal Reserve will need to raise interest rates by at least another percentage point this year, Chicago Fed President Charles Evans said on Tuesday, a more aggressive stance than he has previously embraced that underscores the central bank’s hardening resolve to quash too-high inflation. Evans also said that he does not see “recession-like” unemployment rate numbers ahead, even as the Fed’s actions result in below-trend economic growth and a softening in the labor market in order to bring inflation back down to the central bank’s 2% goal.