Fed's Waller Says Right Now A Lot Of Recent High Productivity Growth Is Just A 'Rebound' From Low Readings Earlier; Unsustainable Fiscal Policy Is Biggest Threat To R-star; If Continue To See Reduction In Labor Demand, Will Start Seeing More Unemployment; We Are In Sweet Spot Now, We Have To Keep It There; 'Gradually' On Rate Cuts Is 'In The Eye Of The Beholder'; Would Be Problematic To Move Policy Rate In Response To Election; Would Be Hard To Go Back To 2019 Prices Without Doing Drastic Policy Tightening
Portfolio Pulse from Benzinga Newsdesk
Federal Reserve's Waller discusses the current economic situation, highlighting that recent productivity growth is a rebound from previous lows and unsustainable fiscal policy poses a threat. He mentions potential unemployment increases if labor demand continues to drop and emphasizes the importance of maintaining the current economic 'sweet spot'. Waller also comments on the gradual nature of rate cuts and the challenges of returning to 2019 price levels without significant policy changes.
October 14, 2024 | 7:55 pm
News sentiment analysis
Sort by:
Descending
NEUTRAL IMPACT
The SPDR S&P 500 ETF (SPY) may be influenced by Waller's comments on economic conditions, including potential unemployment increases and fiscal policy threats, which could impact market sentiment.
Waller's comments on economic conditions, such as potential unemployment increases and fiscal policy threats, could influence market sentiment. However, no immediate policy changes were announced, leading to a neutral short-term impact on SPY.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50