Susan M. Collins, Interview: Marketplace Morning Report

Fed Funds

“I do think that the recent stresses are quite likely to cause some financial tightening. And that’s something that I factor in as I think about what appropriate monetary policy is.”

“Some banks may choose to increase their liquidity a bit, perhaps, tightening conditions for credit. And that would help to slow the economy. And of course, that’s exactly what the Fed is doing, as we work hard to bring inflation down.”

“Well, in March, we just released our summary of economic projections, my view at the time, and this was of course, just last week, was that perhaps one more increase might be sufficiently tight and then holding for some time. But I want to emphasize that I don’t make decisions in advance. There’ll be new information that we receive between now and the next meeting, which is in May.”