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Bostic: Comfortable Waiting A Bit To See How Things Play Out

FED
  • Atlanta Fed’s Bostic (’24 voter) notes the Fed has done a lot of tightening and that policy acts with a lag.
  • He’s comfortable waiting a bit to see how things play out and will take it one meeting at a time to assess the outlook and won’t pre-judge the June policy decision.
  • The remarks follow May 15 comments that if the decision were to be held now he would probably vote to hold rates. Instead, with the next FOMC decision still not until Jun 14 (currently 7.5bp of hike priced), his comments imply a similar stance to Daly’s earlier “extreme data dependence”.

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