- Historically supply shocks hit and resolve quickly but they’re lingering longer and it takes time to work its way through, that can feed into expectations
- Said he was pleased that Warsh doubled down on Jackson Hole speech
- The number of families that are being stressed by prices has risen on a consistent basis
- If the Fed doesn’t create an environment where people think prices are going to flatten then it’s a problem
- Inflation expectations are solid until they aren’t
- I don’t think it’s in our interest to look past wages
- This Fed has been patient over much of 2026
- The patience was in part because of the belief the war would end, or that employment would deteriorate
- It wouldn’t surprise me if we saw patience at the October Fed meeting
Bostic appeared on CNBC. I don’t think there is any strong takeaway here but there was the same relief as in the fixed income market that the Fed is taking the inflation risks seriously.
This article was written by Adam Button at investinglive.com.