Richmond Fed Pres. Barton is a speaking
The Fed’s 50 basis point cut was warranted as rates were at of St. with declines inflation and unemployment rate near its sustainable levelFed cannot declare inflation battle is overExpect little further drop in core PCE until next yearWatching closely how lower interest rates influence home and auto sales to see if the man risks out running supply50 basis points to cut shown as the median Fed policy projection for the rest of 2024 would also take a little bit of the edge off ratesWhile a low hiring, low firing labor market could persist, demand for workers could also move higher if demand growsRecent labor action and geopolitical conflict are also among inflation risksThe pace and extent of rate reduction cycle requires Fed to be attentive to how economy and inflation evolve
This article was written by Greg Michalowski at www.forexlive.com.
