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St. Louis Fed President James Bullard said Thursday the Fed is trying to modestly overshoot its inflation target given that it had missed the 2% goal to the low side by about a half percentage point for most of the recovery from the Great Recession.
"You could miss on the high side by a half a percent for some time; that would seem to me the spirit of what we would want to achieve," Bullard said.
MNI has reported the Fed will emphasize its own outlook for future inflation, not just current rates, when making a policy call.