- I think we have been successful in getting inflation down in a timely manner
- But policy needs to remain in restrictive territory
- Things will be bumpy and things will be gradual
- But within the zone of restrictiveness we can move down somewhat
- If inflation visibly approaches the target next year, then we can make sure rates come down further
The full piece can be found here (may be gated). This once again just confirms a rate cut at next week’s meeting. Besides that, Lane also commented that “central bankers aspire to be boring” and he’s not wrong. It’s more of a political job more than anything else these days.
This article was written by Justin Low at www.forexlive.com. Source