Atlanta Federal Reserve President Raphael Bostic spoke on US TV, CBS' "Face the Nation":
- Inflation is too high and we need to do all that we can to bring it down
- We need to narrow the gap between supply and demand
- Demand is starting to shrink and that will ultimately pay dividends in inflation levels
- Many other indicators other than gdp show positive momentum in the economy
- We need to have slowdown there's no question about that
- There are scenarios that we can avoid the 'deep deep pain'
- There will likely be some job losses
- There's a really good chance that any job losses will be smaller than we've seen in the past
- 2% is our target and I'm going to keep working to move inflation toward it
- Still hearing from businesses that they are not expecting to have to lay off people soon
- We do know that some bottlenecks are starting to ease
- Business leaders today say it's a bit easier to find workers than it was a few months ago
Headlines via Reuters.
Bostic giving indications of diminishing bottlenecks in the US economy. the chain of reasoning will be that this will lead to the end of the cycle of Fed rate hikes when inflation is expected to be back within target range. Bostic has not specified a time frame for this in these comments of course. There are further hikes still to come from the Federal Open Market Committee (FOMC).