"Mr. Williams said he expects the inflation rate to slow to between 5% and 5.5% by the eoy,and 3% and 3.5% next year"
...
"above the Fed’s 2% target, Williams warned that bringing down underlying price pressures.. will require further tightening"
wsj.com
...
"above the Fed’s 2% target, Williams warned that bringing down underlying price pressures.. will require further tightening"
wsj.com
Bit of background.
In 1980 at peak CPI it took us 39 months or more than 3y to get back under a 2.5 CPI reading.
3 years to get under 3.5 as well in 1980 instead of 2y projected now...
Today's tightening is projected to be 30%+ faster than the most hawkish fed ever already!
In 1980 at peak CPI it took us 39 months or more than 3y to get back under a 2.5 CPI reading.
3 years to get under 3.5 as well in 1980 instead of 2y projected now...
Today's tightening is projected to be 30%+ faster than the most hawkish fed ever already!
These constant FED member comments are uneducated and constantly contradicting each other.
Only truth out there is this:
The FED wants to keep the hawkish stance until they can pivot. All they are doing is making sure that good inflation data is not seen as instant pivot.
Only truth out there is this:
The FED wants to keep the hawkish stance until they can pivot. All they are doing is making sure that good inflation data is not seen as instant pivot.
Good inflation data makes the pivot more likely each time, but they know a dovish stance slows down the deflationary process.
Thus a seemingly hawkish stance makes the pivot more likely sooner.
But we can not rush it.
Thus a seemingly hawkish stance makes the pivot more likely sooner.
But we can not rush it.
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