Fed's Bostic: Bold moves 'in either direction' would be imprudent

Odaily Planet Daily News Fed's Bostic said that uncertainty surrounding the Trump administration's tariffs and other policies has brought the U.S. economy to a "big pause," and he suggested that the Fed should stay put until the situation becomes clearer. "Where the economy will land depends critically on the details of where the policy lands," he said. "Because we don't know yet, this is another reason why I think it's imprudent to take policy actions too boldly in any direction." Bostic said tariffs could push up prices, which means it may take longer than he previously thought to get inflation back to the Fed's 2% target, possibly until 2027. At the same time, he said, economic growth is likely to slow, with GDP growth this year exceeding 1%, but less than half of the recent growth rate. Bostic did not say whether he still believes the Fed will cut interest rates once this year, a view he expressed in March. (Jinshi)