San Francisco Fed President Mary Daly signals potential rate hikes if inflation accelerates

Apr 17, 2026, 4:00:46 PM UTC(9 hours ago)

Impact: Medium

Affected Assets

San Francisco Fed President Mary Daly emphasized that the central bank is prepared to maintain current interest rates or even implement hikes if inflation trends upward
Recent economic data shows consumer prices rose 3.3 percent in March 2026 driven by energy price spikes linked to ongoing Middle East conflicts
Treasury Secretary Bessent supported the Fed's cautious stance noting it is appropriate to delay rate cuts while oil prices remain volatile
Market analysts suggest that a quick resolution to geopolitical conflicts could provide the necessary economic stability for the Fed to consider cutting rates later this year

DALY: COULD LEAVE RATES WHERE THEY ARE; IF INFLATION TOOK OFF WOULD NEED TO RAISE RATES; IF CONFLICT ENDS QUICKLY COULD CUT