Bill Ackman says Fed's 2% inflation target 'no longer credible'

Bill Ackman thinks that the Federal Reserve’s 2% inflation target is “no longer credible” after Fed Chair Jerome Powell reiterated that rate hikes will continue until inflation reaches 2%. The Pershing Square Capital Management founder added that a targeted inflation of around 3% would be a better strategy for long-term growth.

“Businesses need price stability, but can thrive in a world with 3% stable inflation,” he wrote in a thread on Twitter.