Fed’s Charles Evans tells CNBC rates can stay unchanged into fall of 2020

Investing

Chicago Federal Reserve President Charles Evans told CNBC on Monday that he’d be comfortable leaving interest rates alone until autumn 2020 to help ensure healthy inflation in the U.S.

As a member of the central bank’s policymaking arm in 2019, Evans joined his fellow Fed colleagues in voting to hold the benchmark overnight lending rate steady in March. The Federal Open Market Committee also suggested at its meeting last month that no more interest rate increases will be coming this year.

Evans told CNBC in March that recent concerns about an inverted yield curve — where short-term yields exceed long-term, often viewed as a recession indicator — and general growth angst were enough to make some economists nervous.

“I think anytime the economy decelerates from 3.1% down to 2%, it takes a really sharp-minded focus to kind of go, ‘All right, it’s less than what we had but it’s still pretty good,'” he said at the time.

Though Evans sees economic growth of between 1.75% and 2% this year, he noted in March that the U.S. labor market looked strong and that he wasn’t worried about inflation or a recession.

This story is developing. Please check back for updates.

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