Select Language

Fed's Musalem: Inflation risks are tilted to the upside

Breaking news

Fed's Musalem: Inflation risks are tilted to the upside

  • X
  • facebook
  • LINE
  • RSS

  • X
  • facebook
  • LINE
  • RSS
New update 2025.02.21 02:17
Fed's Musalem: Inflation risks are tilted to the upside

update 2025.02.21 02:17

On Thursday, St. Louis Fed President Alberto Musalem warned that rising inflation expectations combined with the risk of stubborn stagflation could create a double challenge for the US economy.

Key Takeaways

Assurance inflation is returning to 2% target needed before further policy changes; patient approach appropriate. 

His baseline is for inflation to return to 2%, but risks are skewed to the upside. 

Inflation expectations have moved higher, would make Fed's job more difficult if sustained. 

There are scenarios where progress on inflation stalls or inflation rises alongside a weakening labor market.


Date

Created

 : 2025.02.21

Update

Last updated

 : 2025.02.21

Related articles


Show more

FXStreet

Financial media

arrow
FXStreet

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.

Was this article helpful?

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].

Thank you for your feedback.
Thank you for your feedback.

Most viewed

Mexican Peso weakens as GDP contracts in Q4, growth outlook dims

The Mexican Peso (MXN) lost some ground against the US Dollar (USD) on Friday as the Mexican economy decelerated in the last quarter of 2024.
New
update2025.02.22 03:07

EUR/USD Price Analysis: Bulls lose momentum as pair faces rejection at 100-day SMA

The EUR/USD pair faced a setback on Friday, declining by 0.44% to settle near 1.0450 after encountering firm resistance at the 100-day Simple Moving Average (SMA) around 1.0540.
New
update2025.02.22 01:11

GBP/USD slips after hitting record high past 100-day SMA

The GBP/USD registers losses during the North American session after testing the 100-day Simple Moving Average (SMA) at 1.2658.
New
update2025.02.22 00:21

AUD/USD faces pressure around 0.6400 ahead of flash US PMI

The AUD/USD pair faces selling pressure around 0.6400 in North American trading hours on Friday.
New
update2025.02.21 23:19

Silver Price Forecast: XAG/USD struggles around $33.00 as Fed officials guide restrictive policy stance

Silver price (XAG/USD) faces selling pressure above the key level of $33.00 in North American trading hours on Friday.
New
update2025.02.21 22:31

GBP turns lower from 100-day/week MA signals in mid-1.26s - Scotiabank

UK Retail Sales rose a solid 2.1% in January, well ahead of expectations, after run of soft data in Q4, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
update2025.02.21 22:05

EUR tops out in the low 1.05s again - Scotiabank

Preliminary Eurozone PMI data for February were mixed to slightly softer, weighing on the EUR somewhat in European trade, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
update2025.02.21 22:01

DXY: Short-covering lifts USD into weekend - Scotiabank

The US Dollar (USD) is trading higher on the day overall, with yesterday's big winner, the JPY, this morning's big loser after Japan's January headline CPI reflected the anticipated pick up to 4.0% Y/Y, Scotiabank's Chief FX Strategist Shaun Osborne notes.
New
update2025.02.21 21:58

CAD: Pivot around 1.42 extends ahead of Retail Sales, Macklem - Scotiabank

The Canadian Dollar (CAD) is a very moderate loser on the day, down a little more than 0.1%.
New
update2025.02.21 21:54

US Dollar pushes back against the latest decline on Friday

The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against six major currencies, pushes back on its recent decline and trades slightly below 107.00 at the time of writing on Friday.
New
update2025.02.21 21:36

Disclaimer:arw

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.

  • Facebook
  • Twitter
  • LINE

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

I agree
share
Share
Cancel