Fed's Bostic says interest rates are almost 'neutral'

Economy 12/6/2018, 6:44 PM
Fed's Bostic says interest rates are almost 'neutral'

President of the Atlanta Federal Reserve Raphael Bostic said on Thursday that he believes the interest rates are "within shouting distance of neutral," media reported. During his speech at the University of Georgia, the official stressed that the central bank's monetary policy efforts have almost succeeded to bring the domestic economy into balance.

"I'm not seeing clear signs of overheating, nor am I seeing any indications of a material weakening in the macroeconomic data at the moment," stated Bostic. He added: "I currently think we're within shouting distance of neutral, and I do think neutral is where we want to be."

Investors remain focused on the Fed's interest rate decision later this month while the expectations remain high that the FOMC will decide to raise interest rates one last time in 2018. Meanwhile, three more rate hikes are anticipated in 2019.

Breaking the News / VK