Fed's Collins: Further tightening is certainly not off the table
|"I expect rates may have to stay higher, and for longer, than previous projections had suggested," Federal Reserve Bank of Boston President Susan Collins said on Friday and added that further tightening is certainly not off the table, per Reuters.
Key takeaways
"Optimistic inflation can fall with only a modest rise in unemployment."
"Current policymaking requires considerable patience to get the right signal from data."
"Inflation remains too high despite encouraging news from recent readings."
"Important aspects of inflation, like core services excluding shelter, have not yet shown a sustained improvement."
"Continued above-trend economic activity means it's too soon to be confident inflation is beaten."
Market reaction
The US Dollar Index lost its traction and declined below 105.50 in the American session, erasing its daily gains in the process.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.