Atlanta Fed President Bostic
There was some short-lived relief in markets earlier when Bostic essentially ruled out a 50 bps hike, now there's more commentary:
- Supply chains are starting to show signs of easing
- Trucking companies no longer turning down requests because of capacity issues
- We see hope that supply chain problems may be easing
- May of the Ukraine impacts have yet to be felt
- There is still a lot of uncertainty to the downside as far as demand
- We need to remove accommodation in a purposeful and intentional way
- I'm going to stay open to the possibility that inflation will be approaching policy target at a faster pace than other colleagues project
- 75 bps is not off the table but it's a low probability 'if things turn'
- Says he's looking at m/m moves in inflation
- There's a lot of momentum in the labor market, I am not hearing contacts are even close to laying people off
- If we start to see signs that businesses are thinking about reducing forces, that would be quite meaningful
With Chinese ports snarled, I'd guess that supply chain problems are morphing, not easing. Time will tell.
