Inflation came in lower-than-expected at 8.5% in July, providing a breather after a long. The slowdown in price increases raised hopes that the Fed might ease its monetary policy tightening.
However, Minneapolis Federal Reserve Bank President Neel Kashkari believes that rate hikes are still necessary and refuses to rule out a potential recession. Opening that recession risk will not deter him, Kashkari said, “We have to get back to 2% inflation.”
