MNI BRIEF: Fed's Kugler Optimistic For Soft Landing

Federal Reserve Governor Adriana Kugler on Friday said the recovery of the economy's supply side significantly contributed to the disinflation so far, and she remains sanguine about the prospects of a soft landing.

"I am cautiously optimistic that we will see continued progress on disinflation without significant deterioration of the labor market," she said in a speech to the Stanford Institute for Economic Policy Research. Because much of the pandemic's inflation has been supply related, the recovery of that supply has helped lower inflation without much of a hit to unemployment, she said. (See: MNI INTERVIEW: FOMC In No Rush To Cut Rates- ExVC Kohn)