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

Planet Daily News: Federal Reserve's Bostic stated that the uncertainty surrounding the Trump administration's tariffs and other policies has caused the U.S. economy to enter a "great pause". He suggested that the Federal Reserve should remain on hold until the situation becomes clearer. He said: "Where the economy will land critically depends on the details of where policy will land." "Because we don't know that now, this is another reason why I think it's unwise to take policy actions too boldly in any direction." Bostic said that tariffs might drive up prices, which means it could take longer than he previously imagined to bring inflation back to the Federal Reserve's 2% target, possibly until 2027. He said that meanwhile, economic growth might slow down, with GDP growth this year exceeding 1% but less than half of its recent pace. Bostic did not specify whether he still believes the Federal Reserve will cut rates once this year, a view he expressed in March. (Jinshi)