ahlam1399
03-05-2019, 04:57 PM
https://ei.marketwatch.com/Multimedia/2018/09/07/Photos/MG/MW-GP663_roseng_20180907072511_MG.jpg?uuid=aee288fe-b290-11e8-904a-ac162d7bc1f7Bloomberg
Boston Fed President Eric Rosengren said he expects inflation to end 2019 close to the Fedâ??s 2% target.During the last few years, Boston Federal Reserve President Eric Rosengren has been one the most strident hawks at the U.S. central bank, urging continued interest-rates hikes.
But on Tuesday, Rosengren changed his feathers and said he supported a â??patientâ?* policy approach that could last for â??severalâ?* meetings of the Fedâ??s interest-rate setting committee.
The Boston Fed president, who is a voting member of the FOMC this year, was not more precise about the timing of the pause. The FOMC meets every six weeks; the next meeting in March 19-20.
In a speech to a meeting of the New England Chapter of the National Association of Corporate Directors, Rosengren said his earlier concerns that the economy might overheat â??seem somewhat less pressing at this juncture.â?*
Some financial stability risks â?? a key concern to Rosengren â?? â??have been reduced,â?* he said. Investor â??ebullienceâ?* has been tempered by the recent financial market volatility, he added.
While the stock market
DJIA, -0.79% (http://www.marketwatch.com/investing/index/djia)
SPX, -0.39% (http://www.marketwatch.com/investing/index/spx)
آ*has recovered from its fourth-quarter swoon, Rosengren said that financial markets overall, including Treasury rates and wider credit spreads, â??continue to price in downside risks to the economy.â?*
Rosengren said he forecast a growth rate this year somewhat above 2% without much risk of higher inflation.
Inflation has â??so farâ?* been quite well-behaved, despite rising wage pressures, he said.
Rosengren said there seemed to be heightened risks to his outlook.
â??There is some indication in the December retail sales data (http://www.marketwatch.com/story/retail-sales-sink-12-in-december-to-mark-biggest-drop-since-2009-as-holiday-season-fizzles-out-2019-02-14) that the economy may be slowing a bit faster than policymakers anticipated,â?* he said.
â??With less ebullience in financial markets and no immediate signs of inflationary pressures, patiently watching to see how the economy develops is the appropriate policy for now,â?* Rosengren said.
Source link (http://www.marketwatch.com/news/story.asp?guid=%7B1E94FFDC-3EE2-11E9-B584-A4FAB032CBE3%7D&siteid=rss&rss=1)
More (http://ahlam1399.i234.me:8888/m/2019/03/05/a-fed-hawk-now-sees-less-risk-of-the-economy-overheating/)
Boston Fed President Eric Rosengren said he expects inflation to end 2019 close to the Fedâ??s 2% target.During the last few years, Boston Federal Reserve President Eric Rosengren has been one the most strident hawks at the U.S. central bank, urging continued interest-rates hikes.
But on Tuesday, Rosengren changed his feathers and said he supported a â??patientâ?* policy approach that could last for â??severalâ?* meetings of the Fedâ??s interest-rate setting committee.
The Boston Fed president, who is a voting member of the FOMC this year, was not more precise about the timing of the pause. The FOMC meets every six weeks; the next meeting in March 19-20.
In a speech to a meeting of the New England Chapter of the National Association of Corporate Directors, Rosengren said his earlier concerns that the economy might overheat â??seem somewhat less pressing at this juncture.â?*
Some financial stability risks â?? a key concern to Rosengren â?? â??have been reduced,â?* he said. Investor â??ebullienceâ?* has been tempered by the recent financial market volatility, he added.
While the stock market
DJIA, -0.79% (http://www.marketwatch.com/investing/index/djia)
SPX, -0.39% (http://www.marketwatch.com/investing/index/spx)
آ*has recovered from its fourth-quarter swoon, Rosengren said that financial markets overall, including Treasury rates and wider credit spreads, â??continue to price in downside risks to the economy.â?*
Rosengren said he forecast a growth rate this year somewhat above 2% without much risk of higher inflation.
Inflation has â??so farâ?* been quite well-behaved, despite rising wage pressures, he said.
Rosengren said there seemed to be heightened risks to his outlook.
â??There is some indication in the December retail sales data (http://www.marketwatch.com/story/retail-sales-sink-12-in-december-to-mark-biggest-drop-since-2009-as-holiday-season-fizzles-out-2019-02-14) that the economy may be slowing a bit faster than policymakers anticipated,â?* he said.
â??With less ebullience in financial markets and no immediate signs of inflationary pressures, patiently watching to see how the economy develops is the appropriate policy for now,â?* Rosengren said.
Source link (http://www.marketwatch.com/news/story.asp?guid=%7B1E94FFDC-3EE2-11E9-B584-A4FAB032CBE3%7D&siteid=rss&rss=1)
More (http://ahlam1399.i234.me:8888/m/2019/03/05/a-fed-hawk-now-sees-less-risk-of-the-economy-overheating/)