Fed's Mester says expect 3 rate cuts in 2024

Published 2024-02-29
After January's Personal Consumption Expenditures (PCE) index — the Federal Reserve's preferred inflation gauge — saw the lowest annual rise since early 2021 on the backdrop of hotter-than-expected CPI and PPI data, all eyes are on the Fed over whether this print changes the trajectory of its interest rate strategy.
Cleveland Federal Reserve President Loretta Mester sits down with Yahoo Finance's Jennifer Schonberger for an exclusive interview to discuss this morning's in-line inflation data — "It really doesn't change my calculus" — and the Fed's path to reaching its 2% inflation rate target.
"What I think will be characteristic of policy this year is really risk management. Up till now, really, when inflation started moving up higher than anyone wanted or liked and well above our goal, and employment was actually pretty healthy, our sole focus was on our price stability part of the mandate," Mester says. "Right now as inflation has started to move back down, which we're very happy about... we need to... now [start] managing the risks around both parts of our mandate. And I think that's what really is characterizing policy this year."
#youtube #federalreserve #stockmarket
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All Comments (11)
  • @californianews24
    It's always intriguing to see projections and insights from financial leaders like the Federal Reserve's officials. Their perspectives can greatly influence market expectations and planning for both businesses and individuals. If the Fed is indeed considering rate cuts in 2024, it could signal interesting shifts in the economic landscape, potentially making loans more accessible or affecting savings strategies. It's a reminder of how dynamic the financial world is, constantly adapting to new data and forecasts. Staying informed and flexible in our financial planning can really make a difference in navigating these changes.
  • @Ja50nkAt
    Fed is okay with 3% inflation clearly, buy up every asset, stocks gold bitcoin, up up up.
  • @michaelswami
    Prices are raised in January? What a surprise.
  • @rogerhall559
    Objective is for the private Fed organizations worldwide is to own everything. All else is theater.
  • @chrischoir3594
    California is raising minimum wage to 20 so it will only go up
  • @lserranov
    You know we are F* when the economic policy in this country is in hands of ppl like her