“I think it is too early to think about cutting interest rates”declared on Friday the Federal Reserve Bank of Dallas President Lorie Loganciting upside risks to inflation.
Featured Statements
“We need more resolution to the uncertainty about the economic path we are on.”
“There is growing concern about the upside risk to the inflation outlook“.
“The FOMC must remain prepared to respond appropriately if inflation stops falling.”
“It is difficult to predict exactly when overnight repo balances will be exhausted.”
“I think it will soon be appropriate for the FOMC to decide when to slow – not stop – the flight from our asset holdings.”
“A slower but still significant pace of settlement will provide more time for banks and money market participants to redistribute liquidity and for the Federal Reserve to assess liquidity conditions.”
“Reducing the pace of purchases will also reduce the risk of going too far and should not have much effect on broader financial conditions.”
“The gradual reduction is not related to considerations about the appropriate degree of political restraint.”
“I'm not ready to include a higher productivity trend in my base outlook.”
Market reaction
The US Dollar Index is holding on to modest daily gains near 104.40 following these comments.
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.
