Fed's Barkin: If inflation comes down as expected, Fed will respond
|In an interview with Yahoo Finance on Tuesday, Richmond Federal Reserve Bank President Thomas Barkin said that the Federal Reserve would "act appropriately" if inflation comes down as expected, per Reuters.
Key takeaways
"Inflation data has been going the right direction."
"We are making good progress on inflation."
"Time to balance focus on Fed's mandate."
"Fed forecasts are not guidance, just a forecast."
"Demand and inflation are normalizing."
"Economy not as frothy as data had suggested."
"Seeing signs of weakening in some parts of consumer economy."
"Looking for conviction inflation is coming back to target."
"We are going to learn a lot over first half of next year."
"Fed is nicely positioned given the outlook for the economy."
Market reaction
The US Dollar struggles to find demand following these comments. At the time of press, the US Dollar Index was down 0.35% on the day at 102.15.
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