Fed St. Louis President Flags Rising Inflation Risks

Fed St. Louis President Alberto Musalem warned inflation risks now outweigh employment concerns, noting inflation remains above the 2% target.
He said the benchmark policy rate is near neutral, possibly slightly accommodative, and may need to stay unchanged for an extended period.
Musalem highlighted uncertainty, citing scenarios where rates could be lowered or raised, after last month’s hold decision with dissent over oil price and Iran war risks.
The remarks were made at a Mississippi Bankers Association event in Fairhope, Alabama.