Federal Reserve official says inflation persistence led her to support interest rate hike

WASHINGTON (AP) — A top Federal Reserve official said Monday that stubbornly high inflation and the renewal of combat in the Middle East in August were key reasons she supported raising borrowing costs last week, when she also penciled in a second rate hike for later this year.

Susan Collins, president of the Federal Reserve Bank of Boston, said in an interview with The Associated Press that she agreed with the Fed’s decision last Wednesday to lift its benchmark interest rate by a quarter-point to about 3.9%. She also expects that the Fed will keep rates unchanged next year, she added.

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Federal Reserve official says inflation persistence led her to support interest rate hike | National News

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