Fed, Collins: it is appropriate to ease restrictive policy by the end of the year

Fed Mester At or near peak interest rates

(Finance) – “While heartened by the progress made to date, I will need to see more evidence before considering an adjustment of my position” on monetary policy. This was stated by the president of the Boston Federal Reserve, Susan Collinsat an event at the Boston Economic Club.

“Indeed, I fully support last week’s FOMC statement,” he explained. “It unequivocally reaffirms the Committee’s determination to achieve and maintain our inflation target. For now, the politics remains well positionedas we carefully evaluate the evolution of data and prospects.”

“That said, as we gain more confidence in the economy achieving the Committee’s goals, and in line with the latest set of projections from FOMC participants, I believe it will likely become It is appropriate to begin easing the restrictive policy by the end of the year “A methodical, forward-looking strategy that gradually eases policy will provide the flexibility needed to manage risks while promoting stable prices and maximum employment,” Collins said.

According to the Fed official, “it is important to recognize that the path taken by the economy towards the objectives set by the Fed may continue to be bumpy and uneven, and we should not overreact to individual data“.

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