PARIS (MNI) – Charles Plosser, president of the Federal Reserve
Bank of Philadelphia, said Monday that he believes the unemployment rate
in the United States will continue to decline.
Plosser, speaking to reporters on the sidelines of a conference
here, said he expects continued “modest growth” of around 3% this year
and next, with the unemployment rate dipping to around 7.8% by the end
of this year and to the “low 7s” next year.
“My own forecast is that we will continue to get modest growth in
the United States,” Plosser said. “Barring any sort of traumatic shock,
I think we will continue to see unemployment rates fall.”
He said he sees inflation as problem that is still “somewhere down
the road,” possibly surfacing as a issue sometime next year.
–Paris newsroom, +33142715540, jduffy@marketnews.com
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