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Federal Reserve of Boston: Still Appropriate to Cut Rates Once by 2025
By: theblockbeats.news|2025/09/03 22:42:28
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BlockBeats News, September 3rd, Atlanta Fed's Bostic reiterated that he believes a rate cut this year is appropriate, although this may change depending on the situation of inflation and the labor market. "I believe that although price stability remains a top concern, the labor market has slowed sufficiently, so some accommodation (possibly a rate cut of around 25 basis points) will be appropriate for the remainder of the year."
"The situation could change depending on the future trajectory of inflation and the evolution of the labor market." Regarding inflation, Bostic stated that he remains concerned that the impact of tariffs on prices may persist. "I still believe that the impact of tariffs on prices will not dissipate quickly, in fact, it will not fully manifest in the coming months. I will not be complacent, simply assuming that expectations will remain stable and there will be no another inflation outbreak." (FXStreet)
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