Federal Reserve Bank of Boston President Susan Collins speaks before the 23rd annual Regional & Community Bankers Conference hosted by and at the Federal Reserve Bank of Boston
Headlines summary via Reuters:
Further rate cuts likely needed, future action to be data driven.Notes September Fed forecasts predicted 50 bp cuts into year end.Is more confident inflation being on durable path of ebbing.Core inflation has moderated but is still elevated.Important for Fed to preserve healthy labor market conditions.Unemployment still historically low, job growth solid.Job market in good, balanced place.Economy now more vulnerable to adverse shocks.Data show economy is strong and resilient.Wage growth robust, not a driver of inflation.Restrictive monetary policy has helped cool inflation.
The blockbuster jobs data last Friday has Fed officials pushing back against prior expectations of a 50bp rate cut at the November meeting. Collins emphasizing here that cuts will be 50bp in total by year end. Which would be 25 in November and 25 in December.
This article was written by Eamonn Sheridan at www.forexlive.com.
