📈 Fed’s Logan: Cautiously Optimistic on Inflation & Jobs 📈
Dallas Fed President Lorie Logan expressed cautious optimism that current policy rates could stabilize the job market while bringing inflation down to the 2% target. 📊
🔍 Key Points:
✅ Upcoming data will test whether the current policy stance is appropriate.
✅ If the outlook holds, the Fed may achieve its dual mandate WITHOUT further rate cuts.
✅ However, if inflation falls alongside a cooling labor market, more cuts could become suitable.
⚠️ Her primary concern remains stubbornly high inflation.
💡 Logan noted:
· Last year’s 3 rate cuts helped reduce labor market risks… but added inflation risks.
· Short-term borrowing costs are now in a “neutral” range.
· Current rates have “limited restraint” on the strong economy & persistent inflation.
🎯 Outlook: She expects inflation progress this year, with early signs already emerging. 📉
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