- Modestly restrictive policy is key to getting inflation back to target
- It will take time to get inflation to 2%
- Uncertainty is not yet a major restraint on the economy
- Gaining confidence that inflation is moving back towards target is key to support for more cuts
- Consumers and the labor market are healthy
The Fed is entirely in wait-and-see mode so the market is carefully watching the data trying to sort the signal from the noise. Musalem is a voter this year.
This article was written by Adam Button at www.forexlive.com.
