US Boston Fed's Rosengren talking to Bloomberg a short while ago 16 Oct
- 3-4 rate hikes next year will propably be appropriate
Yep, you mean like they were last year and this year and didn't happen ?
- need for rate hikes amid low unemployment
- expects unemployment to drift down and inflation to reach Fed's 2% target by end of 2018
- Fed may need to overshoot on rate if unemployment below 4% while inflation hits goal
- rise in wages suggests a tight labour market
- Fed chair candidate Taylor an advocate of rule-based policy, seemed pretty flexible, pragmatic in recent paper
- Fed likely to need to use QE again to respond to a future recession
More of the same hawkish talk yet with one eye on future down turn as he noted last week when I posted this from him .
USD suitably unfazed by the repetition.
