Neal Soss
Neal Soss
desirable economy good growing higher somewhat
As long as the economy is growing at such a good pace, it is appropriate and desirable that the FOMC acknowledge that with somewhat higher rates.
direction disappear emphasis maybe readily time tweak word words
The word 'measured' could very readily disappear now. They'll probably tweak the words one more time in the direction of being that much more open-ended, but maybe with the emphasis on 'ended' than 'open.
puzzles
You don't see the symptoms, and that's one of the puzzles of the moment.
bit burden committee data raising rates seems
This committee still seems predisposed to raising rates a bit more, and the burden is on the data to tell them otherwise.
against costs elicit federal further growth held hikes inflation labor likely markets rate remained remains signs threat unit
Productivity growth has held up well, so unit labor costs have remained soft. Against that backdrop, the inflation threat remains muted in our view. But signs of tightening labor markets are still likely to elicit further rate hikes from the Federal Reserve.
economy fed funds hard inflation kinds lowest medicine moment percent problems rates
The economy is doing fine. We're at the lowest unemployment rates in a generation. Inflation is hard to find. There's just aren't the kinds of problems that would induce to you take new medicine. So if the medicine at the moment is a 4-3/4 percent Fed funds rate, keep it there.