Fed's Dudley: Sees inflation rising toward 2% goal over medium term

Author: Adam Button | Category: Central Banks

Comments from New York Fed President Dudley

  • Technology and globalization are exacerbating wage inequality
  • Sluggish productivity dampening wages despite job gains
  • Inequality reinforces barriers to economic mobility
  • Expects further labor market strengthening and moderate economic growth
  • US should better address inequality, but Fed policy is a poor tool for it

There isn't much there to hang a trade on. Overall, he maintained his light hawkish bias and avoided some of the lamenting over wage growth that I thought would look dovish. Still, the dollar ticked a tiny bit lower on the headlines with USD/JPY hitting a session low.