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Federal Reserve Bank of Boston: Inflation Remains Elevated, No Rate Cuts Expected Through 2026

2026-02-02 23:30

BlockBeats News, February 3rd, the Federal Reserve's Bostic stated in a recent speech that due to the impact of tariffs, the inflation issue has not been alleviated. His outlook for the first half of 2026 is that the economy will maintain strong growth, but the inflation rate will remain high, which is worrisome. He stated that even without considering the impact of tax cuts and deregulation, the U.S. economy still shows strong resilience. Currently, no one is predicting a deterioration of the labor market. Bostic also expects that there will be no rate cuts in 2026, and one to two more rate cuts will bring it back to a neutral level. Bostic's term as President of the Atlanta Fed is coming to an end, and he will retire on February 28th. (FX678)

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