Kashkari: Inflation Still Too High Across US Economy

Minneapolis Federal Reserve President Neel Kashkari reiterated his concerns about inflation in an interview with Fox News on Sunday, saying it is still too high across all sectors of the US economy. Despite the recent interest rate hike to 3.75%-4.00%, Kashkari emphasized that the inflation target remains unmet.

Kashkari pointed out that even if energy and food prices are stripped out, inflation is still a concern, with many categories posting increases above 3% on both six- and 12-month bases. He acknowledged that the Fed's job is to bring down inflation back to its 2% target.

Kashkari also echoed comments made by Fed Chairman Kevin Warsh, who estimated that inflation as measured by the gauge used to set the 2% target was likely around 3.6% in August. Kashkari expressed hope that economic growth can continue and help bring down inflation, but emphasized that the Fed's focus remains on achieving its inflation target.