Fed Official Musalem: Inflation Risks Now Outweigh Employment Risks

Deep News08:05

Federal Reserve Bank of St. Louis President Alberto Musalem stated on the 6th that there is significant uncertainty regarding the outlook for the U.S. economy and monetary policy.

Musalem said, "Inflation remains clearly above our 2% target. We face risks on both the employment and inflation fronts. Based on my assessment, the risks are tilting more significantly towards inflation rather than employment."

Musalem noted that the Fed's benchmark policy rate is currently at a neutral level, meaning it neither stimulates nor restricts the economy, or it may be slightly accommodative. He stated, "There are very plausible scenarios that would require us to maintain the current policy rate unchanged for some time."

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment