Fed's Jefferson (voter) says current moderately restrictive policy rate in a good place to respond to economic developments; Q1 GDP data overstated deceleration in activity

• Recent inflation data consistent with further progress toward 2% goal, but future path uncertain due to tariffs.


• Watching closely for signs in hard data of weaker activity.


• Tariffs could lead to higher inflation, still uncertain if impact would be temporary or persistent.


• Expect lower growth due to trade policy but expect economy to still expand over the year.


• Labour market still solid.


• Whether tariffs create persistent inflation depends on implementation, response of supply chains, and other factors.

14 May 2025 - 14:08- Fixed IncomeData- Source: Newswires