Fed's Bostic: Fed is not seeing changes in longer-run inflation expectations

Atlanta Federal Reserve President Raphael Bostic said on Thursday that they are not seeing changes in the longer-run inflation expectations but added that they will be monitoring the situation, as reported by Reuters.

Additional takeaways

"There is a commitment across the system to promote diversity in the Fed leadership positions."

"Inflation is appearing to last longer because of supply chain and labour disruptions caused by the pandemic."

"Inflation right now is tied to the episode of the pandemic and those forces will recede."

Market reaction

The US Dollar Index largely ignored these comments and continues to fluctuate below 94.00.