Bullard: Fed wants to err on the tighter side to allow a disinflationary process

• Current policy "not quite" in restrictive territory, needs to be over 5% at least
• Fed wants to 'guarantee' inflation will be on a steady path back to target and not waver on that
• Wants to err on the tighter side to allow disinflationary process to take hold
• Last half of 2022 surprised to the upside on jobs and GDP
• Global economic factors have improved with easing recession risks in Europe and China moving towards reopening. But that could fuel inflation
• Core inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term hasn't moderated as much as markets suggest
• Prospects for a soft landing "have improved markedly"
• Suggests a 50 bps at the upcoming meeting is appropriate

These comments read exactly like a central bank that's going to stay too tight.

The market is pricing in a 91% chance of a 25 bps hike so that comment about 50 bps is an outlier. But it's Bullard and he's not a voter so I doubt the market puts much stock into his view.