Fed Hawks Circle: Waller Opens the Door to a Half-Point Hike, Logan Wants at Least Two More

Two Federal Reserve officials sent the same message Tuesday: the fight against inflation is not over, and it may get tougher.

Fed Governor Christopher Waller said he may support a half-point rate increase next month, depending on what the data show. He spoke at the Bank of England Watchers' Conference.

Dallas Fed President Lorie Logan went further in a speech in Houston, saying the pace of rate hikes needs to speed up and that the Fed's policy committee needs at least two more increases given the current outlook.

The comments came hours after the October consumer price index showed prices rising 0.4% for the month, more than forecast.

Ray's take: a half-point hike would be the most aggressive move of this cycle. Mortgage, car-loan and credit-card rates follow the Fed, so borrowers should brace now.