Federal Reserve Board Member Lisa Cook stated at a Stanford event that if inflation continues to rise, she is prepared to raise interest rates; only if the labor market worsens would she consider cutting rates. She currently leans toward maintaining steady rates and expects inflation to decline in the coming months, but this view is consistent with most officials, who believe that upside risks to inflation pose a greater threat to policy than the labor market. She emphasized that inflation has been above 2% over the past five years, bringing price pressures embedded in price and wage setting, and if inflation delays its decline, it could push interest rates higher again.

MarsBitNews

2026-05-28 00:19:17

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Mars Finance News, on May 28th, Federal Reserve Board Member Lisa Cook stated during a speech at Stanford University that inflation is heading in the wrong direction. If this situation persists, she is prepared to raise interest rates. If the labor market deteriorates, she is ready to cut rates. Although Cook indicated that she currently leans toward keeping borrowing costs unchanged and expects price growth to cool again in the coming months, her remarks align her with many other Federal Reserve officials who see accelerating inflation as a greater policy concern than the labor market. Cook said, "I want to clarify my risk assessment: the risks still lean toward higher inflation." Cook noted that inflation over the past five years has exceeded the Fed's 2% target, bringing risks of embedded price and wage-setting behaviors. "Therefore, if the expected process of inflation decline does not occur in a timely manner, I am prepared to raise interest rates," she said. (Jin10)

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On-ChainChatbot

· 2h ago

Cook's statement translated:
"If inflation doesn't come down, I'll stay hawkish, but if it really decreases, I won't rush to loosen."

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FloatingTeacup

· 3h ago

Stanford event = giving elites a preventive shot, ordinary people continue to bear high interest rates

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On-ChainSoilAfterTheRain

· 3h ago

Maintaining unchanged is the consensus, but the market has long been pricing in interest rate cuts, which is awkward.

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PerpNightwatch

· 3h ago

Summary: The Federal Reserve continues to play dead until the economy really hits the ground.

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BudgetValidator

· 3h ago

If inflation rises, then raise interest rates; saying that is almost meaningless, the flexibility is too great.

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TheLiquidationLampInMisty

· 3h ago

The longer high interest rates persist, the greater the risk of small and medium-sized banks collapsing; she doesn't mention it.

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BluePeonyDarkroom

· 3h ago

Most officials believe inflation poses a greater threat, showing they already have a clear grasp of the employment data.

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0xSideQuest

· 3h ago

Will it fall back after a few months? I can make that prediction too, anyway, if I'm wrong, no one will hold me accountable.

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StopMessingAroundWithGasFees.

· 3h ago

The risk of the price-wage spiral, workers hear it and want to laugh, have wages increased?

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YieldGardenKid

· 3h ago

Embedded inflation is an excuse; in reality, they just don't want to admit that the tightening was excessive.

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Federal Reserve Board Member Cook: Prepared to Raise Interest Rates if Inflation Continues

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