Chicago Federal Reserve President Charles Evans said the central bank is committed to taming inflation even if it means people losing their jobs.
Three weeks before the Fed is set to approve its fourth consecutive 0.75 percentage point interest rate hike, the central bank official told CNBC he aims to minimize economic damage.
“Ultimately, inflation is the most important thing to get under control. That’s job-one,” Evans said during a live “Squawk on the Street” interview. “Price stability sets the stage for stronger growth in the future.”
Markets will receive a fresh look at producer and consumer price indexes later this week. Both have shown cost-of-living surges near their highest levels in more than 40 years.
Meanwhile, on the employment front, the Bureau of Labor Statistics reported Friday that nonfarm payrolls increased by 263,000 in September, while the unemployment rate plunged to 3.5%, tied for the lowest level since late 1969. However, Fed officials, including Chairman Jerome Powell, have cautioned that they expect “some pain” from the Fed’s inflation-fighting efforts that could include higher levels of joblessness.
