MNI BRIEF: Bostic Repeats Fed Rate Cut At End of Year Likely
Federal Reserve Bank of Atlanta President Raphael Bostic said Thursday he is comfortable keeping interest rates steady, reiterating he doesn’t think it will be appropriate to lower borrowing costs until toward the end of the year.
The Atlanta Fed president said his economic outlook sees inflation falling which "would make it appropriate to reduce rates towards the end of the year" but nothing is locked in. Emphasizing data dependence in his remarks to the Jacksonville Business Journal, Bostic said there are various scenarios the economy could take. (See: MNI INTERVIEW: CPI Keeps Fed On Track For '24 Cuts-Ireland)
Bostic said he was pleased with recent consumer price inflation data, but added there is still a lot of pricing pressure in the economy, pointing to the still-high distribution of price increases. "Our target is 2%. We are going to get to 2%."