Fed’s Logan: Interest Rates May Stay Higher for Longer Amid Tariff Pressures

Dallas Fed President Lorie Logan said Tuesday that interest rates likely need to stay elevated for a while longer to keep inflation in check—especially as Trump’s tariffs put upward pressure on prices.

While inflation hasn’t surged yet due to inventory buffers, Logan emphasized the importance of monitoring data over the summer.

She noted that although softening labor and inflation data could warrant cuts later, for now, policy should remain “modestly restrictive” to avoid reigniting inflation.