Fed official supports higher rates to curb inflation

Fed official supports higher rates to curb inflation after Dallas Fed President Lorie Logan signaled openness to tighter policy. Speaking in Houston, Logan said she currently believes “modestly higher interest rates” would better balance risks for the Federal Reserve. Her comments suggest she could push back against a decision to keep rates unchanged at the next Federal Reserve meeting scheduled for July 28–29. Logan noted inflation has remained above the Fed’s 2% target for more than five years and said one month of cooling from May’s 4.2% to June’s 3.5% is not enough to restore stability. She added that “it is time to finish the job” of returning prices to target, using a hockey analogy about skating toward where the puck is going. The article links recent inflation pressures to higher oil prices and regional tensions affecting shipping access around the Strait of Hormuz.