Federal Reserve Bank of San Francisco President Mary Daly indicated on Friday that additional interest-rate hikes are likely on the horizon to combat inflation. Speaking in an interview on CNBC, Daly emphasized that while further tightening of monetary policy is necessary, the exact timing and magnitude of these hikes remain uncertain.
Daly’s remarks come as policymakers continue to grapple with persistent inflationary pressures. She acknowledged the need for caution, noting that the Fed must carefully consider all incoming economic data before making decisions on future rate adjustments.
The central bank has already implemented several rate increases in recent months, but Daly suggested that more may be required to achieve the desired cooling of price growth. She did not specify how much higher rates might need to go, leaving the door open for flexibility based on evolving economic conditions.