Federal Reserve Bank of Chicago President Charles Evans said Thursday monetary policy isn't positioned to deal with surging inflation and that he supports the central bank's recent shift toward expecting to raise interest rates.
Mr. Evans didn't say when he would like the Fed to raise rates from their near zero settings, but he noted that at December's Federal Open Market Committee meeting his outlook for monetary policy was in line with the three rate increases this year that Fed officials collectively penciled in at that time.
Fed's Brainard Says Reducing Inflation Is Top Priority
Federal Reserve governor Lael Brainard, the White House nominee to serve as the central bank's No. 2 official, told Congress that efforts to reduce inflation are the central bank's "most important task."
Ms. Brainard, who joined the Fed in 2014, was a forceful advocate last year for ensuring that the central bank didn't prematurely curtail stimulus as part of a focus on spurring a robust labor-market recovery.
Iran Seeks Closer Ties With China as Nuclear Talks Drag On
As talks between Iran, the U.S. and other world powers to revive the 2015 nuclear deal continue, the Islamic Republic is trying to strengthen ties with China, Russia and other nations that could help it get around American sanctions that are battering its economy.
Iranian Foreign Minister Hossein Amir-Abdollahian met his Chinese counterpart on Friday to discuss a wide-ranging economic and security cooperation agreement signed between the two countries in Tehran early last year, among other issues, according to his ministry. Implementing the 25-year agreement to boost trade and the nuclear talks in Vienna, of which China is a part, are high on the agenda, an Iranian official said.
How Covid-19 Has Widened the Gap Between Rich and Poor Countries
The Covid-19 pandemic is widening the gap between rich and poor countries, a trend that threatens to reverse years of economic progress and set back efforts to alleviate global poverty.
The pandemic pushed the global economy into recession in 2020, but richer nations have bounced back faster than poorer ones, thanks to widespread access to vaccines and lavish programs to support businesses and workers through lockdown.
North Korea Fired Unidentified Projectile Off Its East Coast, South Says
SEOUL-North Korea conducted its third weapons test of the year, firing an unidentified projectile off its east coast on Friday, according to South Korea's military.
The type of weapon, where the launch occurred and the flight distance couldn't immediately be learned.
China Bans Flights From U.S. as Covid-19 Measures Intensify
HONG KONG-Chinese aviation authorities ordered more flights from the U.S. canceled for the coming weeks, along with flights from countries including France, Indonesia and the United Arab Emirates, citing Covid-19 containment rules.
The list released by the Civil Aviation Administration of China on Friday newly bans American Airlines Group Inc. and Delta Air Lines Inc. flights to Shanghai from Dallas and Detroit, respectively. They join dozens of other flights from the U.S., including by United Airlines Holdings Inc. and Chinese airlines, that have been listed since the beginning of the year, further narrowing transit options in and out of China. Other flights by domestic and foreign airlines that authorities have banned in recent days travel routes including Paris-Shanghai, Jakarta-Wuhan and Abu Dhabi-Shanghai.
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(END) Dow Jones Newswires
01-14-22 0646ET
