Fed's Bowman On Dissent Says Agreed Was Appropriate At This Meeting To Recalibrate Fed Funds Rate Level But Preferred A Smaller First Move; Sees Risk That The Fomc's Larger Policy Action Could Be Interpreted As A Premature Declaration Of Victory On Inflation; We Have Not Yet Achieved Inflation Goal; Believe Moving At A Measured Pace Toward A More Neutral Policy Stance Will Ensure Further Progress Is Made In Returning Inflation To 2% Goal
Portfolio Pulse from Benzinga Newsdesk
Fed's Bowman expressed concerns about the recent FOMC decision to recalibrate the Fed Funds Rate, preferring a smaller initial move. She warns that larger policy actions might be seen as prematurely addressing inflation, which has not yet met the 2% goal.

September 20, 2024 | 5:01 pm
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NEUTRAL IMPACT
The SPDR S&P 500 ETF (SPY) may experience volatility due to Fed's Bowman's comments on the Fed Funds Rate. Her preference for a smaller rate adjustment suggests caution in monetary policy, impacting market sentiment.
Bowman's comments suggest a cautious approach to rate adjustments, which could lead to uncertainty in the market. SPY, as a broad market ETF, may reflect this sentiment, but the impact is not strongly directional.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50