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Fed's Harker says favors possible rate hike pause when funds rate hits around 4.5%

Published 11/10/2022, 09:49 AM
Updated 11/10/2022, 09:53 AM
© Reuters. FILE PHOTO: The Federal Reserve building is pictured in Washington, DC, U.S., August 22, 2018. REUTERS/Chris Wattie/File Photo

By Michael S. Derby

(Reuters) - Federal Reserve Bank of Philadelphia President Patrick Harker said Thursday the point where the central bank might pause on rate rises could be getting closer.

© Reuters. FILE PHOTO: The Federal Reserve building is pictured in Washington, DC, U.S., August 22, 2018. REUTERS/Chris Wattie/File Photo

"I am in the camp of wanting to get to what would clearly be a restrictive stance, somewhere north of four-ish, you know, four and a half percent, and then I would be okay with taking a brief pause, seeing how things are moving. And then if we have to, we can continue to tighten," he said in appearance in Philadelphia.

The current federal funds rate stands between 3.75% and 4%. Harker is not currently a voting member of the rate setting Federal Open Market Committee but will be next year.

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