MNI BRIEF: Bostic Says Fed Has Much Work To Do On Rates

Atlanta Fed President Raphael Bostic said Thursday the Fed has work to do to bring inflation back to 2% regardless of recent signs that price pressures are easing.

"I appreciate recent reports that include signs of moderating price pressures, but there is still much work to do," Bostic said a a conference welcoming international guests. "The biggest headwind, of course, is inflation. It’s way too high here in the United States, as it is in your countries, and I and the Federal Open Market Committee remain determined to use our policy tools to bring inflation back toward our objective of 2 percent as measured by the Personal Consumption Expenditures price index."

The Fed has been signaling it will raise rates further and hold for some time. Ex-Fed vice chair Alan Blinder has said the central bank will resist pressure to cut this year.