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Chairman of the Federal Reserve (Fed, the US central bank) of St. Louis, James Bullard stated that strong inflation in the United States is the most pressing problem for the country’s economy.
According to him, the North American BC has a “good plan” to deal with the rise in prices, and the markets believe in the entity’s action.
The central banker, who is a voting member of the Federal Market Committee Aberot (FOMC) this year, pointed out that investors have already priced in significant currency action, so the volatility seen recently is not surprising.
Despite the monetary tightening, the US economy is still expected to perform “fairly good” and “above trend” in 2022 and 2023, according to Bullard.
According to him, the job market is “super strong” and households are in a good position to spend.
Bullard also stressed that there is a lot of uncertainty about the global economic scenario, but said he did not expect a recession in Europe due to the war in Ukraine.
Source: CNN Brasil
