Fed's Bullard: Inflation Likely to Persist Longer Than Expected

St. Louis Federal Reserve President James Bullard on Thursday said he expects high inflation to be more persistent than many have been expecting and interest rates now are not yet high enough to begin curtailing price pressures.

In an interview on CNBC in Jackson, Wyoming, Bullard repeated he would like the Fed's benchmark rate to climb from its current range of 2.25% to 2.50% to between 3.75% and 4.00% by year end, adding such "front loading" of rate hikes appeals to him because "you show you are serious about inflation fighting."

"A baseline would probably be that inflation will be more persistent than many on Wall Street expect, and that's going to be higher for longer and that's a risk that is underpriced in markets today," Bullard said.