Fed's Daly: We are prepared to do whatever it takes to get price stability

San Francisco Pres. Mary Daly is speaking on Bloomberg television:

• Some increase in policy rate above neutral is likely to be required in 2023
• Sees neutral rate at 2.5%
• Want to march rates to about 2.5% at least, and then perhaps move above it
• If inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term comes down, we might find just a little restrictive is just right
• If inflation moves up, will need to be more restrictive
• We are prepared to do whatever it takes to get price stability
• Fed policymakers project front loading of rate increases
• Balance sheet adjustments would also deliver at least another rate hike worth of tightening
• This is quite a bit of frontloading compared to prior cycles
• Data will tell us a 50 basis point is the right recipe
• Conflict is a modest risk to growth, but would not deliver stagflation
• Too early to call we will have a global recession
• Very limited chance of US recession

Yesterday Daly said that she doesn't see inflation at 2% at the end of the year (no kidding). You can see some further comments by clicking here.