(Bloomberg) -- Federal Reserve Bank of San Francisco President Mary Daly said she has “everything on the table” for the next policy meeting in May, as both a 50 basis-point interest-rate hike and a decision to shrink the balance sheet could be warranted depending on economic data in coming weeks.

“If we need to do 50, that is what we’ll do,” Daly said Wednesday in an interview with Michael McKee during the Bloomberg Equality Summit. She said she could also potentially support a 25 basis-point hike.

Investors have increased bets on a half-percentage point hike at the Fed’s May 3-4 meeting after Chair Jerome Powell said on Monday the central bank was prepared to take such a step if necessary to get price pressures under control. 

Fed officials raised rates by a quarter point last week for the first increase since 2018 and projected six more such hikes this year to 1.9%, rising to 2.8% by the end of 2023.

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