Created
: 2024.11.13
2024.11.13 04:26
Federal Reserve (Fed) Bank of Minneapolis President Neel Kashkari noted on Tuesday that while the Fed has many reasons to feel confident about its long-running battle with transitory inflation, it still may be too soon to declare outright victory. Key US Consumer Price Index (CPI) figures expected in the midweek are anticipated to show a slight upswing in annualized headline inflation figures.
I continue to be surprised by US economic resilience.
It looks like the strong labor market and the strong economy will continue.
The Fed won't model Trump policies' effect on economy until they become clear.
The tariff is a one-time increase in prices, that's not inflationary in itself.
I don't want to declare victory on inflation, but good reason for confidence.
It may take a year or two to get all the way down to 2% inflation given dynamics in housing.
The robust labor market is encouraging and the economy looks in strong position.
If inflation surprises to upside before December, that might give us pause.
In a higher productivity environment, neutral rate is higher, meaning the Fed has less room to cut.
We are modestly restrictive.
The bar of stopping the Fed balance sheet runoff is quite high.
The Fed has a ways to go before it stops shrinking its balance sheet.
Created
: 2024.11.13
Last updated
: 2024.11.13
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy