In a prepared speech he delivered on Wednesday, “the risk that inflation will stay higher for longer must now be weighed against the risk that an excessively tight monetary policy stance will cause a slowdown in activity more than is necessary to restore price stability,” said Federal Reserve Bank of Boston President Susan Collins.
He explained that this context calls for a “patient and careful, but deliberate, approach to policy”, giving policy makers time to assess the effects of the measures taken to date.
Other statements
“Too soon to say inflation is sustainably returning to target.”
“It is likely that the Fed can achieve its targets without causing noticeable economic pain.”
“Demand continues to outpace supply, creating inflationary pressures.”
“There is still too much demand on the labor market, the rebalancing process is incomplete.”
“Wage growth remains high compared to the 2% inflation target.”
“The moderation of basic services inflation has been modest.”
Market reaction
The Dollar Index did not show an immediate reaction to these comments and lost 0.1% on the day, settling at 104.70 points.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
