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Fed's Musalem Says That Without Further Policy Restraint, It's More Likely Inflation Will Remain Substantially Above 2% Target 18 Months From Now; Interest Rates Likely Need To Rise Further To Tame Inflation That Is Both Demand- And Supply-Driven
Likely To Need Further Hikes To Tame Inflation That Is Both Demand- And Supply-Driven - Labour Market Stable Around Full Employment, Doesn t See It As A Source Of Inflation Pressure - Commodity Shock Is More Than Just Oil, Shock Includes Base Metals Like Copper - Better For 'Earlier And Incremental' Rate Hikes Rather T
Feds' Musalem: Without further policy restraint it is more likely inflation will remain substantially above 2% target 18 months from now.