I will support the decision to cut interest in that case!

2023-06-24 00:22:09

Member of the American Federalist, Parkin

I dealt with the statements of Thomas Parkin, a member of the US Federal Reserve Bank, in the state of Richmond; yesterday Thursday; Several points, most notably:

It will support the US Federal Reserve’s decision to cut interest rates, once it sees evidence that inflation is coming down. The US Federal Reserve is still a long way from its 2% inflation target, with demand higher than on the pre-pandemic trend, causing prices to surge. Demand does not appear to be weakening. It would also support further interest rate hikes if inflation remains high. There are still some pandemic-era factors facing higher interest rates, including excess savings, as well as housing and asset wealth and fiscal spending. He will not prejudge the decision of the Federal Monetary Policy Committee meeting next July.

At the same time, Nazira Barkin, a member of the US Federal Reserve, Michelle Bowman, stated that additional interest rate increases will be needed until a sufficiently restrictive level is reached to control high inflation.

“Inflation remains unacceptably high despite the decline in general inflation,” she continued, adding, “I endorsed the FOMC’s decision last week to keep the target range for the federal funds rate steady and continue to reduce the US Federal Reserve’s securities holdings.”