Philadelphia Fed Bank President Patrick Harker said, “Fed policy is going to hold steady”. He added, “while the economic situation is improving, recovery is still in its early stages, and there’s no reason to withdraw support yet.” He also noted that “we’re not seeing inflation running out of control.” Instead, he’d be more concerned with inflation that is too low.
Boston Fed President Eric Rosengren told WSJ that he’s expecting a “very strong economy over the course of this year”, and unemployment to “get quite low by the end of the year.” But he’s not giving a specific forecast about where the rate liftoff to be, as there’s no such foresight in the only post-war pandemic. “I think we’re two years away from when that likely is going to become a much more important question,” he said.
