The Fed: Fed’s Evans says half-point rate hike in May could now be ‘highly likely’

A half-percentage-point hike in the Federal Reserve’s benchmark interest rate could now be “highly likely,” Chicago Fed President Charles Evans said Monday.

Previously, Evans had said he was open to considering a half-point move as part of his preferred pat to get the Fed funds rate to “neutral” by next March. Evans said he thinks a “neutral” Fed funds rate that doesn’t boost inflation is in a range between 2.25%- 2.5%.

On…