Minneapolis Fed President Kashkari: 'Now is the time to start slowly moving' rates up

• Kashkari states that inflation has been high for 5+ years and energy prices remain elevated, with an uncertain outlook for foreign moves.
• He believes the Fed's job is to bring inflation back to its 2% target, and now is the time to start slowly moving rates up based on incoming data.
• He argues that most of the inflation experienced is due to a series of successive supply shocks over four to five years, rather than just robust economic growth.
• Kashkari emphasizes the importance of the Fed communicating its 'reaction function' to the public, rather than making specific predictions, and prefers gradual rate hikes now to avoid more aggressive measures later.

Minneapolis Fed President Neel Kashkari discusses the current economic landscape, emphasizing that inflation has been persistently high for over five years. He advocates for a gradual increase in interest rates to combat inflation, noting that the economy, corporate earnings, and labor market remain strong. Kashkari believes most inflation stems from successive supply shocks rather than excessive demand.