Fed’s Collins: I wouldn’t take additional hiking off the table

  • We are seeing some moderation in inflation, we’ve had ‘promising news’
  • Data is noisy, progress is uneven
  • I won’t overreact to promising news, we’re positioned to be patient
  • Three-month core is still at 3.4%
  • I don’t see additional hikes off the table, we really need to stay the course
  • The work we’ve done is working its way through the economy
  • It’s important for us to be patient
  • Goods inflation is back to pre-pandemic levels
  • Rents in particular have been uneven
  • I look overall on financial conditions and there’s some restrictiveness on bank lending
  • I’m seeing positive signs that labor supply and demand are more aligned

Fed officials aren’t pushing back too hard on dovish market pricing, that’s the signal.

This article was written by Adam Button at www.forexlive.com. Source