The president of the Richmond Federal Reserve Bank, Thomas Barkin, said on Friday that FOMC policymakers have “a lot of time yet” before deciding the size of the September rate hike, Reuters reports.
Other points to consider
“The Fed will need to move rates into tightening territory, but will take a cue from the economy on how high it needs to be.”
“Right now underlying demand looks stronger than it did at the last Fed meeting.”
“Much of the recent decline in core inflation was due to item volatility.”
“The poor productivity results are expected to change through revisions to GDP and employment.”
“The Fed is now balancing the urgency to get where it needs to go on rates with uncertainty about the impact on the economy.”
market reaction
The dollar’s rally continues on the back of these comments with the US Dollar Index last up 0.7% on the day at 108.20.
Source: Fx Street
With 6 years of experience, I bring to the table captivating and informative writing in the world news category. My expertise covers a range of industries, including tourism, technology, forex and stocks. From brief social media posts to in-depth articles, I am dedicated to creating compelling content for various platforms.
