Clarida on Bloomberg TV
- US economy is in a good place
- Must look at the outlook on both sides of the baseline
- Trade has not had a big impact on the economy so far
- We don't see a strong case to move in either direction
- Our focus right now is to get inflation up to 2%
The risk that the Fed runs by over-emphasizing temporary factors in inflation is that they're wrong. They might want to dial back on that messaging because it will make them a target. At the same time, commodity prices have rebounded so they'll get some help on headline inflation.
