Fed Chair has to say something about inflation, says former Fed President Patrick Harker
Speakers
Patrick Harker
— Former President, Federal Reserve Bank of Philadelphia
Summary
Former Philadelphia Fed President Patrick Harker previews the Jackson Hole symposium and argues Fed Chair Powell must address inflation, Treasury market stress, and the fiscal situation. Harker says the Treasury buyback program is only a bridge and that the Fed cannot buy Treasuries while claiming to fight inflation. He expects the Fed at best to hold rates steady because inflation is not solved.
- Patrick Harker discusses what Fed Chair Powell must address at Jackson Hole.
- He identifies three issues: inflation, the Treasury market, and fiscal problems.
- Harker says the Treasury buyback program builds a bridge but does not solve fiscal issues.
- He argues the Fed cannot buy Treasuries while saying it is tough on inflation.
- He sees the Fed holding rates steady at best, with some officials wanting hikes.
- He warns markets may react if Powell fails to address the key issues.
Ideas
Fed must address Treasury market limits.
The Fed at Jackson Hole must address the Treasury market and the limits of what it is willing to do there. Harker argues the Treasury buyback program is only a bridge but does not solve the underlying fiscal problem, and the Fed cannot be buying Treasuries while also claiming to be tough on inflation; at best the Fed should hold rates where they are because inflation is not solved and some officials want to raise.
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This CNBC video, published August 24, 2026, features Patrick Harker discussing TLT. 1 trade idea extracted by AI with direction and confidence scoring.
Speakers: Patrick Harker · Tickers: TLT