Boston Federal Reserve President Susan Collins has expressed confidence that inflation will gradually move towards the Fed's 2% target, despite potential monthly fluctuations in data. Collins believes that the path to achieving this target may be uneven, but the overall trend should remain downward.
Collins noted no new factors putting upward pressure on core inflation and mentioned that the recent increase in housing prices might take time to subside. She highlighted that the current monetary policy stance of the Federal Reserve remains restrictive.
There is a possibility of an interest rate cut in December, but Collins emphasized that the final decision will depend on forthcoming economic data. The Federal Reserve policymakers are scheduled to meet in Washington on December 17-18 to discuss future actions.
