Comments from Boston Fed President Eric Rosengren:
- The most-likely outcome is that inflation will normalize close to 2%
- Oil prices, pent up demand and shipping delays will temporarily distort inflation numbers
- Fiscal policy has been unusually stimulative and is providing a major boost to the pandemic-shocked economy
- Current policy will remain accommodative until the labor market can consistently help deliver on the Fed's 2% inflation goal
In his recent comments, Rosengren said there was no hurry for the Fed to raise rates.
Rosengren can be a swing voter towards the hawkish side but there's no hint of that. The Fed is much more united that markets in the belief that inflation will be transitory.
