Following January's hotter-than-expected inflation print in the form of the Consumer Price Index (CPI) and Producer Price Index (PPI), Federal Reserve Bank of Atlanta President Raphael Bostic finds the "bumpiness" in inflation progress to be not "super surprising."
"The biggest question right now is whether that data point represents a new trend or just a bump in the road. And that's what me and my team will be looking at over the next several months to make sure that we get we draw the right conclusion from those January number," Bostic tells Yahoo Finance senior Fed reporter Jennifer Schonberger.
When asked how central bank officials are accounting for the economic impact of the Trump administration's policies, such as tariffs and immigration, Bostic states:
"We don't have a final policy in place. So, right now we're just kind of trying to keep our eyes on the ball and make sure we understand what's going on. Until that's the case, though, I had an outlook that 2025 would proceed at a very positive level."
Related Videos
He also cautions that certain policies may not end up being as inflationary as many currently expect.
Also, watch this video to hear Raphael Bostic's commentary on why US consumers have "pretty much tapped out" around future price hikes fueled by inflation and tariffs.
To watch more expert insights and analysis on the latest market action, check out more Market Domination here.
This post was written by Luke Carberry Mogan.