Fed's Cook Says She's Ready to Raise Rates If Inflation Lingers

Federal Reserve Governor Lisa Cook said the risks remain tilted toward higher inflation, reinforcing a hawkish policy backdrop. The comment suggests the Fed may stay cautious on rate cuts and keep financial conditions tighter for longer. Markets sensitive to the inflation and rates outlook could react modestly.

Analysis

Federal Reserve Governor Lisa Cook said the risks remain tilted toward higher inflation, reinforcing a hawkish policy backdrop. The comment suggests the Fed may stay cautious on rate cuts and keep financial conditions tighter for longer. Markets sensitive to the inflation and rates outlook could react modestly.