In the Asian session on Monday (April 3), the U.S. dollar index rose, with the latest price of the U.S. dollar at 102.83, an increase of 0.23%. Fed Governor Jefferson said the full impact of policy tightening so far is still being understood; inflation has fallen and “should fall back” to the 2% target as demand falls.
Fed Collins said the U.S. banking system is sound and the Fed needs to raise interest rates further to curb inflation. Recent banking stress has added to uncertainty over the economic outlook, but tighter lending standards could reduce the need for further rate hikes laterShe doesn’t expect the Fed to cut rates this year, but traders disagree, with some predicting a banking crisis that will push the U.S. closer to recession. Kashkari said that he is committed to the 2% inflation target and will not change the target; if the 2% inflation target is changed, the Fed’s credibility will be threatened; inflation must be brought down, and the Fed will do it.
