Posted 1/14/2024, 12:26:02 PM
Bostic: Inflation Drop May Slow, Stall; Urges Caution on Rate Cuts Despite 2024 Forecast
- Fed's Bostic warns inflation descent likely to slow, could "see-saw" if rates cut too soon
- Says inflation may stall out altogether, expects it to be 2.5% by year-end, hit 2% target in 2025
- Cautions uncertainty means rates should stay on hold until after summer
- Shipping cost increases from Suez Canal disruption need close watching
- Said in December that Fed could begin rate cuts in Q3 2024 if inflation falls as expected