Investing.com - Chicago Federal Reserve Bank President Charles Evans said Wednesday a shallow path envisioned by the Federal Open Market Committee for rate hikes is appropriate and needed.
"I think the pace of policy normalization necessary to bring inflation back up to 2% in a timely manner has to be shallow enough to result in the unemployment rate falling below its natural level," Evans said in remarks prepared for the CFA Society in Auckland, New Zealand.
Evans, who is a 2018 voter on the policy making Federal Open Market Committee, said he is not as concerned about the timing of the next move up in the Fed funds rate as he is the path of subsequent rates going forward.
"I think a very shallow funds rate path, such as the one envisioned by the median FOMC participant, is appropriate and needed to support my forecasts for growth and inflation," he said.