Fed St. Louis President Musalem Flags Rising Inflation Risks

Fed St. Louis President Alberto Musalem warned that inflation risks now outweigh employment concerns, with inflation still above the 2% target.
He said the Fed’s benchmark rate is near neutral, possibly slightly accommodative, and may stay unchanged for an extended period.
Musalem noted uncertainty, saying scenarios may need rate cuts or hikes, and cited dissenters over oil price spikes and Iran war risks.
He delivered these remarks at a Mississippi Bankers Association event in Fairhope, Alabama.