Fed's Bostic sees rate cuts in the third quarter - Breaking The News

Fed's Bostic sees rate cuts in the third quarter

18 January

1 min read

EPA-EFE/ERIK S. LESSER

Federal Reserve Bank of Atlanta President Raphael Bostic (pictured) declared on Thursday that due to the unforeseen advancements in inflation, he anticipates a reduction in interest rates by the central bank in the third quarter of 2024 and not in the fourth.

"Because I'm data dependent, I have incorporated the unexpected progress on inflation and economic activity into my outlook, and thus moved up my projected time to begin normalizing the federal funds rate to the third quarter of this year from the fourth quarter," Bostic noted at the Atlanta Business Chronicle's 2024 Economic Outlook event.

However, Bostic further cautioned against adopting an "emphatic approach" to monetary policy amid "such an unpredictable environment...I believe we should allow events to continue to unfold before beginning the process of normalizing policy," he added.

fed interest rates bostic

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