Fed's Evans: Gradual, cautious approach to policy normalization is appropriate

Eren Sengezer FXStreet

In a speech before the Economic Club of Grand Rapids on Monday, Chicago Fed President Evans said that a gradual, cautious approach to policy normalization was appropriate.

Key quotes (via Reuters):

Broadly comfortable lifting rates to 2.7 pct by end of 2019
Fed needs clear signs of upward wage, price pressure before next rate hike
Little in recent data to suggest inflation will soon rise to 2-pct target
Should maintain policy accommodation until inflation on sustainable path to 2 pct
U.S. economy close to full employment
Concerned inflation expectations are too low

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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