Feds Kaplan starts his virtual Q&A session at Texas Tech

Fed's Kaplan

  • sees GDP growth that 6.5% in 2021 but watching Delta variant carefully
  • sees PCE inflation at 3.8% – 3.9% at the end of 2021
  • sees PCE price pressures remaining at 2.5% in 2022
  • most businesses are saying demand is strong and what they are dealing with is supply issues
  • supply issues will get resolved but will persist

NASDAQ index is trading around +125 points. The Dow industrial average is up about 165 points at the start of his speech