Federal Reserve Bank of Boston President Susan Collins said the banking system is sound and more interest-rate increases are needed to bring down inflation.
“Inflation remains too high, and recent indicators reinforce my view that there is more work to do, to bring inflation down to the 2% target associated with price stability,” Collins said Thursday in remarks at conference hosted by the National Association for Business Economics in Washington.
Collins’s remarks echo those made by other Fed officials last week, when policymakers raised interest rates by a quarter point and said some additional tightening may be warranted. Chair Jerome Powell had earlier opened the door to moving at a faster pace, but such expectations retreated in the aftermath of the collapse of Silicon Valley Bank.
Source : Fed official Collins: Further tightening needed, but banks in good shape