The time for moderating the pace of rate increases may come as soon as the December meeting. Given our progress in tightening policy, the timing of that moderation is far less significant than the questions of how much further we will need to raise rates to control inflation, and the length of time it will be necessary to hold policy at a restrictive level.
It is important that we thoughtfully examine the evolving money and payments landscape and digital innovations broadly, including a potential U.S. CBDC. In addition to understanding international approaches to these issues, the Federal Reserve’s research, experimentation, and outreach to stakeholders help us to gain important input and perspective on these issues.