Collins Ties Rate Stability to Inflation Progress

Federal Reserve Bank of Boston President Susan Collins expressed her support for holding interest rates steady, but only if inflation continues to decline towards the central bank's 2% target. In an essay published by the Boston Fed on August 25, 2026, Collins emphasized that maintaining the current federal funds rate target range requires evidence that inflation is decreasing.

Collins stated that if sustained progress in reducing inflation does not materialize, it will be necessary to tighten monetary policy soon. This condition suggests that Collins is closely monitoring inflation data and is prepared to adjust interest rates accordingly.