Kansas City Fed President Jeff Schmid said on Thursday that inflation is proving persistent across a broad range of goods and services, and
Kansas City Fed President Jeff Schmid said on Thursday that inflation is proving persistent across a broad range of goods and services, and remains the focus of monetary policy given a stable labor market. But he called current inflation running roughly double the Fed's 2% target "concerning", and said he disagreed with those who feel it is the result of one-time factors like high oil prices and is thus likely to dissipate on its own. "I am uncomfortable ever assuming that a burst of inflation is likely to be temporary," said Schmid. "Inflation shocks are not intrinsically transitory."
Kansas City Fed President Jeff Schmid said on Thursday that inflation is proving persistent across a broad range of goods and services, and remains the focus of monetary policy given a stable labor market.
But he called current inflation running roughly double the Fed's 2% target "concerning", and said he disagreed with those who feel it is the result of one-time factors like high oil prices and is thus likely to dissipate on its own. "I am uncomfortable ever assuming that a burst of inflation is likely to be temporary," said Schmid. "Inflation shocks are not intrinsically transitory."