Transcript: Neel Kashkari, Minneapolis Fed president and CEO, on "Face the Nation with Margaret Brennan," Aug. 23, 2026

Live updates

1. 22d ago

   Kashkari doubts 2% inflation target without interest rate hikes

   Minneapolis Fed President Neel Kashkari stated on August 23, 2026, that he lacks confidence in inflation reaching the Federal Reserve's 2% target without further rate increases. Despite a surge in Treasury yields, Kashkari maintains that the U.S. Treasury market is functioning normally and that long-term yields are driven by fundamentals. He remains focused on inflation, though some reports suggest he views a North American trade war as a new headwind that could prevent inflation from easing in the short term.

   Why it matters

   The Federal Reserve manages U.S. monetary policy to balance maximum employment and price stability. Kashkari's hawkish stance indicates a preference for higher rates to combat persistent inflation. His assessment of the Treasury market addresses concerns over whether rising yields signal systemic instability.

   What is confirmed

   • Neel Kashkari stated the U.S. Treasury market is functioning normally.
   • Kashkari believes long-term Treasury yields are determined by fundamentals.
   • Kashkari is not confident inflation can hit the Fed's 2% target without a rate hike.

   Still unconfirmed

   • A North American trade war has emerged as a new headwind making inflation unlikely to ease in the short term.

   What to watch next

   • Upcoming Federal Open Market Committee meetings regarding interest rate decisions
   • New Consumer Price Index data reflecting inflation trends
   • Official Federal Reserve statements on Treasury market stability
   Sources used for this update (9)

   1. CBS News — Transcript: Neel Kashkari, Minneapolis Fed president and CEO, on "Face the Nation with Margaret Brennan," Aug. 23, 2026
   2. Barron's — Kashkari Isn't Confident Inflation Can Hit Fed's 2% Target Without Rate Hike
   3. Investing.com — Fed’s Kashkari says rising Treasury yields not a concern
   4. 아시아경제 — Minneapolis Fed President: "U.S. Treasury Market Functioning Normally... Long-term Yields Determined by Fundamentals"
   5. bloomingbit — Hawkish Fed’s Kashkari Says Treasury Market Functioning Normally Despite Yield Surge
   6. CBS News — Transcript: Dr. Scott Gottlieb on "Face the Nation with Margaret Brennan," Aug. 23, 2026
   7. Bloomberg.com — Fed’s Kashkari Says Treasury Market Still Working ‘As It Should’
   8. 헤럴드경제 — Fed hawk says bond market 'functioning normally' despite yield surge, keeps focus on inflation
   9. 富途牛牛 — Fed's 'Super Hawk' Speaks Again: Inflation Unlikely to Ease in the Short Term, North American Trade War Emerges as New Headwind!
   confidence 90%