Monetary policy

Federal Reserve officials are sounding increasingly confident they can run the U.S. economy hot without a harmful rise of inflation.

The economic outlook has not changed, Federal Reserve Board Gov. Lael Brainard said in a televised interview Friday, suggesting the Fed’s projected rate hikes are on target unless data changes require adjustment.

The Federal Reserve will need to continue raising interest rates, Federal Reserve Bank of Cleveland President Loretta Mester said.

Gary Pzegeo, head of fixed income at CIBC Atlantic Trust Private Wealth Management, discusses the changes at the Fed, including two new nominees, and what this means for monetary policy and the possibility of dynamic inflation targeting. Gary Siegel hosts.

Inflation and the unemployment rate will determine if monetary policy will need to become restrictive in the coming years, Federal Reserve Bank of New York President William Dudley said Wednesday.

New tariffs and concerns over widening trade disputes cast a shadow over the Federal Reserve’s most recent survey of U.S. businesses even as all 12 regions reported continued robust job growth with few signs of overheating.

With the latest bout of flattening, the reality of sub-zero spreads may soon collide with an otherwise sanguine outlook on the economy.

John Williams, who takes the helm of the powerful Federal Reserve Bank of New York in June, played down risks the yield curve would become inverted as the U.S. central bank gradually raises interest rates.

U.S. President Donald Trump announced his intention to nominate Richard Clarida, a respected economist and Pacific Investment Management Co. global strategic adviser, as vice chairman of the Federal Reserve.

Federal Reserve Bank of New York President William Dudley said the central bank will stay on its gradual path of raising interest rates unless inflation moves up by “an appreciable margin.”