Fed’s Paulson: Underlying Inflation Too High, Policy Must Stay Restrictive
Philadelphia Fed President Anna Paulson said underlying inflation remains too high and monetary policy must stay mildly restrictive, with current conditions likely meeting that bar.
Philadelphia Federal Reserve President Anna Paulson told CNBC on Tuesday that underlying inflation remains too high and that monetary policy needs to stay mildly restrictive. She added that the current economic environment likely meets that requirement.
Her remarks reinforce the central bank's cautious stance as it monitors inflation trends. The Fed has held rates steady in recent meetings, awaiting clearer signs that price pressures are sustainably easing.
Source: FXStreet Forex News