Kashkari: If not progress on inflation, don’t see why rates couldn’t go above 4.50%

• I could easily see rates getting to mid-4% next year
• If I don’t see progress on inflation, I don’t see why rates could not go even higher

The risk to markets next year is that if we don’t see progress on inflation by around March, then the Fed will have to signal another round of hiking. That will send the US dollar into orbit and cut down risk assets again.