© 1982-2022 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial
OIL

Global Crude Flow Changes

GLOBAL POLITICAL RISK

Week Ahead Article Published

US TSY FUTURES

BLOCK, 5Y Sale

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access
Trending Top 5
Topics

Chair Powell On Whether The Fed Are Targeting Headline Or Core Inflation

FED
Metals bulletEM BulletFixed IncomeCommoditiesEnergy BulletsBulletMarketsEmerging MarketsForeign Exchange

Q: Are you targeting headline or core inflation? Are you chasing oil prices, if those drive expectations? When the members gave the SEP, when were they inserted in the record? Were they revised after Friday's data?

  • A: We're responsible for inflation in the law. Core is more relevant to our monetary policy tools, it's a much better predictor of where inflation is going. We can't affect energy prices. But have to be mindful of the effect of headline inflation in inflation expectations.
  • The SEP is of one piece, it reflects all of the economic readings and also the 75bp increase. People had that in hand when the SEP was submitted; reflects their feeling about this rate increase and what's going forward.
119 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.

Q: Are you targeting headline or core inflation? Are you chasing oil prices, if those drive expectations? When the members gave the SEP, when were they inserted in the record? Were they revised after Friday's data?

  • A: We're responsible for inflation in the law. Core is more relevant to our monetary policy tools, it's a much better predictor of where inflation is going. We can't affect energy prices. But have to be mindful of the effect of headline inflation in inflation expectations.
  • The SEP is of one piece, it reflects all of the economic readings and also the 75bp increase. People had that in hand when the SEP was submitted; reflects their feeling about this rate increase and what's going forward.