President of the Atlanta Fed. Bostic: latest inflation figures suggest a return to 2%

Fed Atlanta Fed Pres. Bostic is on the wires and says

• Post-pandemic economy may be less rate sensitive
• The latest inflation figures suggest a return to 2%, but slowly.
• Households and owners want low rates and limit the sensitivity of the economy to increases in key rates.
• We’re not going to talk about moving the Fed’s inflation target until we get to 2%.
• Expect to start a new discussion on the Fed’s framework in 2025
• On rates, it is important to move in one direction only
• We may need to be a little more patient about the path of inflation to 2% before changing the policy rate.
• Job growth has been robust
• Jobs reassure me to stay at a more restrictive level
• We are not in danger of falling into a more restrictive environment.
• There is still considerable upward pressure on prices, although the point of concern has not passed.
• Each central bank must think about its own jurisdictions
• Europe is very different from us
• It would NOT surprise me if it took longer to reach 2% in the US than elsewhere.
• Climate change has significant implications for how the economy fares in the Atlanta District
• Climate change has real economic implications. I have to keep an eye on it.