US Fed governor opens door to half-point rate hike in March

WASHINGTON (AP) — Federal Reserve Governor Michelle Bowman says she’s open to lifting interest rates by more than the traditional quarter-point at the central bank’s next meeting in March. Her comments Monday (Feb. 21, 2022) came after several officials on Friday pushed back against the idea of a half-point increase in the Fed’s benchmark short-term interest rate. The Fed is almost certain to start lifting interest rates at its March 15-16, 2022, meeting, with most officials who have expressed views supporting a quarter-point increase. It’s looking to raise rates as inflation has surged by the fastest pace in four decades.