Monetary policy

The gradual rate hikes will continue even as inflation remains below the Federal Reserve’s 2% target, Federal Reserve Bank of Boston President Eric Rosengren said Friday.

Although he continues to maintain that two rate hikes this year are appropriate, Federal Reserve Bank of Philadelphia President Patrick Harker said Friday he is closely monitoring the flattening yield curve.

The Federal Reserve will raise interest rates in March, followed by one or two more in 2018, former Fed Gov. Randall Kroszner predicted Thursday night.

Low interest rates may not be a “serious problem” and while tax reform will support near-term growth, it will add to the long-term burdens on the economy, Federal Reserve Bank of New York President William Dudley said Thursday.

Price level targeting may be a better tool than inflation targeting, Federal Reserve Bank of St. Louis President James Bullard said.

Federal Reserve policy dove Charles Evans argued for a six-month delay in raising interest rates when U.S. central bankers met in December.

Former Federal Reserve Chairman Ben Bernanke predicted that the central bank’s new leadership will study alternate regimes for monetary policy over the next year to 18 months.

The U.S. central bank should be patient as it raises interest rates this year, said Federal Reserve Bank of Atlanta President Raphael Bostic, adding his voice to other dovish comments from officials concerned by low inflation and the risk of an inverted yield curve.

Jerome Powell was a reluctant supporter of a third round of emergency bond purchases in 2012 as the U.S. struggled to recover from the global financial crisis.

Low interest rates increase the chance of hitting zero lower bound rates, forcing the Federal Reserve to use nontraditional monetary policy tools, could extend recessions and hold down inflation, Federal Reserve Bank of Cleveland President Loretta Mester said Friday.

Federal Reserve Bank of Philadelphia President Patrick Harker, said Friday he thinks the Fed should reassess its targets and may want to raise rates only twice this year.

By setting a target, central banks have been able to keep inflation low and stable, Federal Reserve Bank of St. Louis President and CEO James Bullard said Thursday.

Tax reform strengthened Federal Reserve officials' outlook for economic growth as they expect tax cuts to boost consumer and business spending.

It’s a powerful position so the stakes are high, and the appointment will come amid broader changes in Fed leadership.

At least two economists have been interviewed for the position of Federal Reserve vice chair, last held by Stanley Fischer, who resigned earlier this year, according to reports.

President Donald Trump will nominate Jerome Powell again to serve as the chair of the Federal Reserve after the Senate adjourned Thursday without voting to confirm him, White House spokeswoman Natalie Strom said.

Federal Reserve Bank of Dallas President Robert Kaplan joined other policy makers in cautioning that a flattening yield curve could be sending a warning signal on the U.S. economy that could inhibit the central bank’s room to maneuver.

Low inflation plus a flattening yield curve led to Minneapolis Fed President Neel Kashkari voting against a rate hike.

Concern that “persistent factors” rather than “transitory ones” could be keeping inflation low pushed Federal Reserve Bank of Chicago President Charles L. Evans to dissent on the Federal Open Market Committee vote on the federal funds rate Wednesday.

A gradual path of rate increases is likely to remain warranted, Federal Reserve Board Chair Janet Yellen reiterated Wednesday, noting that she is “personally concerned” about U.S. debt level.