Fed President Birkin attends CEO Summit
- Revised consumer spending data is more in line with what I’m hearing on the ground
- I’m hearing that consumer reaction is slowing down, but it won’t fall off the table.
- Skeptical whether price setters are returning to pre-coronavirus status at this point
- Once GDP reaches 5.2%, it is determined that businesses can still raise prices.
- Goods inflation is clearly declining.And it’s basically back to pre-corona levels
- I think occupancy rates have clearly fallen, but housing inflation is still rising.
- Prices for many services continue to rise with wages.
- I’m still in the “conviction-seeking category” that inflation is falling
- We have no intention of taking further rate hikes off the table.
- If inflation accelerates again, we would like to have the option of lowering interest rates further.
- The market has a different forecast for inflation than I do.
- I believe that the more we want it, the more stubborn inflation will be.
- It’s too early to talk about rate cuts
- We hope that the messages we send will be reflected in financial conditions in the market.
- Avoid focusing too much on market financials.
- The market’s bet on four rate cuts next year may be based on expectations for a soft landing. I hope they are right.
- My prediction is that inflation will decline, but stubbornly.
- Eventually there will be some kind of slowdown.
- In order to lower interest rates, we need to be confident that inflation will return to 2%.
Barkins’ comments are a little more cautious about inflation, and therefore about the path of interest rates. He is not convinced that further rate hikes are unnecessary.