Bullard: Rates are getting closer to sufficiently high

“The policy rate is not yet in a zone that may be considered sufficiently restrictive, but it is getting closer,” Bullard said. — Bloomberg

FEDERAL Reserve Bank (Fed) of St Louis president James Bullard says interest rates are getting closer to a high enough level to bring down inflation, suggesting he’s comfortable with policymakers’ projections of how much further they will hike this year.

Bullard, in a presentation to business leaders in St Louis, pointed to optimistic signs that price gains could slow further this year and that the central bank may succeed in taming the strongest inflation in a generation.