- For now, long-run inflation expectations well anchored
- 2% inflation target is a priority
- It’s a priority to make sure inflation does not move up
- Moderately restrictive interest rates affect households, but inflation also affects households in a negative way
- Uncertainty is holding back business investment
- A lot of uncertainty
These comments from Kugler don’t tell us much but it certainly doesn’t sound like she’s on board with the 115 bps in easing priced in for the year ahead.
More:
- Right now inflation is more pressing
- We don’t know how businesses will react, how much of tariff increase they will pass on to consumers
- I understand the pain that some may be seeing form the increase in prices from tariffs
This article was written by Adam Button at www.forexlive.com.