FOMC

With monetary policy close to neutral levels and no signs of an overheating economy, the Federal Reserve should move cautiously, Federal Reserve Bank of Atlanta President Raphael Bostic said Thursday.

Traders of U.S. interest-rate futures are no longer certain that the Federal Reserve will raise rates even once more next year.

Federal Reserve Bank of Dallas President Robert Kaplan said that he’ll be counseling patience as the central bank moves into 2019 against a backdrop of slowing growth and no sign that inflation is taking off.

Federal Reserve Bank of New York President John Williams expressed no concern that markets have dialed back expectations for policy tightening in 2019.

Federal Reserve Chairman Jerome Powell said that while the central bank has made progress toward a “strong economy” with rising wages, many lower-income workers have been left behind.

Forward guidance and quantitative easing became important tools for the Federal Reserve in the Great Recession, but received mixed reviews as to their effectiveness.

The Treasury market has functioned normally despite the Federal Reserve’s balance-sheet reduction, according to Federal Reserve Board Gov. Lael Brainard.

Federal Reserve Vice Chairman Richard Clarida said the U.S. central bank will defend both sides of its inflation target.

Federal Reserve officials, meeting earlier this month, saw another increase in the benchmark lending rate as likely warranted “fairly soon” even while they set the stage for more flexibility in their series of gradual hikes.

Bill Merz, a director of fixed income at U.S. Bank Wealth Management, discusses monetary policy, when the Federal Reserve may pause and the yield curve. Gary Siegel hosts.