Feds Collins: solid economy gives Fed time to decide its next interest rate move
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Feds Collins stated that the solid economy allows the Federal Reserve time to consider its next interest rate decision. He emphasized the need for an 'actively patient' approach to monetary policy amid current uncertainties. While tariffs are expected to increase inflation in the latter half of 2025, core inflation is projected to be around 3% by year-end. Despite potential hiring slowdowns due to tariffs, strong business and household balance sheets may mitigate the impact, with the economy currently in a favorable position overall.
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