MNI BRIEF: Bostic Says Fed Likely To Begin Easing In Summer
Atlanta Fed president says data will guide interest rate cuts.
Federal Reserve Bank of Atlanta President Raphael Bostic reiterated Thursday the central bank is likely going to be in a position to begin easing interest rates sometime in the summer, but he added that economic data will be the guide and easing can be pulled forward or pushed back.
"It'll probably be appropriate if things go the way I expect to see us to start to reduce rates in the summertime," he said in Q&A at an Atlanta Fed banking conference. (See MNI: Fed To Stay Patient Amid Bumpy Inflation-Groen)
"The other thing I want to just add on that is that I started [expecting rate cuts] at December, I've now moved this forward six months because of experience," he said. "Experience will ultimately be our guide, will be my guide in thinking about what's appropriate, and so we'll have to see what happens over the next several months. That will really determine whether that summer expectation is appropriate, or whether I should pull it forward even further, or push it back if things go in a different way."