Fed George: if data points weaker easier policy may be appropriate


  • Muted inflation would not warrant policy response unless downside risks materialize.
  • Sees ongoing trade dispute as disinflationary for US.

Federal Reserve Bank of Kansas City President Esther George has been reported saying that if data points weaker easier policy may be appropriate. 

 

Key Quotes:

  • In current circumstances, concern about low inflation seems unnecessary."
  • Says muted inflation would not warrant policy response unless downside risks materialize.
  • Would be realistic to accept fluctuations by as much as 100 bps around fed's 2% target.
  • If data points to broadly weaker economy, adjusting policy 'may be appropriate'.
  • Risks to outlook include trade policy uncertainty, weaker global growth.
  • Says leaving US rates unchanged would have been appropriate; cites moderate growth, record-low unemployment, benign inflation outlook.
  • Global trends important factor in keeping US inflation muted.
  • Sees ongoing trade dispute as disinflationary for US.
  • Says price trends in health care, college tuition are also reducing US inflation.

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.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

AUD/USD advances towards 0.7150 post-upbeat Aussie CPI

AUD/USD is inching higher towards 0.7150 after Australia's Q3 CPI beat estimates. With coronavirus cases rising across the globe, the RBA is likely to cut rates next month. RBA's Harper said the central bank does not lack firepower. 

AUD/USD News

USD/JPY looks south with bear flag breakdown on 4H chart

USD/JPY feels the pull of gravity as risk sentiment weakens on coronavirus concerns. Deeper losses look likely, as the 4-hour chart shows a bear flag breakdown. The pattern indicates a continuation of the sell-off from the Oct. 20 high of 105.75, possibly toward 104.00. 

USD/JPY News

Gold bounces-back towards $1910 amid growing coronavirus woes

Gold attempts bids amid coronavirus woes-led risk-aversion, as the bulls fight back control amid a sell-off in the US Treasury yields, triggered by the coronavirus concerns-induced risk-aversion. The benchmark US 10-year Treasury yields drop further below the key 0.80% level.

Gold News

S&P 500 futures and Treasury yields drop on coronavirus concerns

Both the US stock futures and the government bond yields are flashing red on renewed coronavirus concerns and fading prospects of additional fiscal stimulus deal. Coronavirus concerns weigh over risk sentiment and boost demand for safe havens.

Read more

WTI falls 1.2% on inventory data

The price of oil has fallen in recent trade as the recent inventory data shows a build on stockpiles, weighing on WTI. Technically, the price is deteriorating on a daily outlook. From a 4-hour perspective, the price might be expected to ....

Oil News

Forex MAJORS

Cryptocurrencies

Signatures