Fed’s Collins open to rate-hike pause at June meeting

Boston Federal Reserve President, Susan Collins, suggests a pause in raising interest rates to evaluate the effect of past interest rate hikes on economic activity. Inflation remains high, however, there are early signs of moderation; the Federal Open Market Committee (FOMC) may pause from raising interest rates given the restrained banking sector and calm inflation. The next FOMC meeting is due to take place on 13-14 June and a pause will allow a complete evaluation of the information available at the time. However, many reserve officials still reserve the possibility of taking action if needed.