Posted 3/1/2024, 6:30:20 PM
Fed Officials Signal Rates to Stay High Through March, Cuts Possible Later in 2023 As Inflation Slows
- Bostic reiterates need to wait to cut rates until inflation recedes further to avoid reversing course
- Multiple Fed officials say rates will stay high at least through March FOMC meeting, with cuts likely later in 2023
- Fed's semi-annual report shows inflation has slowed "notably" but remains above 2% target and labor market still "relatively tight"
- Waller wants Fed's mortgage holdings to go to zero and shift toward more short-term Treasuries
- Logan says Fed will need to "feel our way" to right level of bank reserves as ON RRP facility drains
